Question: Technoid inc: selis computer systems. Technoid leases computers to Lone Star Company on January 1, 2021. The manufacturing cost of the computers was 521 million.
Technoid inc: selis computer systems. Technoid leases computers to Lone Star Company on January 1, 2021. The manufacturing cost of the computers was 521 million. This noncancelabse lease had the following terms: - Lease payments: $2,963,725 semiannually; first payment at January 1, 2021; remaining payments ot June 30 and Deccmber 31 cach year through June 30,2025. - Lease termi 5 years (t0 semiannual payments). - No residual value; no purchase option. - Economic life of equipment 5 years - Implicit interest rate and lessee's incremental borrawing rate: 4% semiannually. - Fair value of the computers at January 1,2021: 525 milion What is the interest revenue that Technoid would report for this lease in its 2021 income statement? (Round your answer to the nearest whole dollar.) Muttiple Choice- 50
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
