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Business, 18.02.2021 23:10 simplemickey123
On January 1, 2021, Packard Corporation leased equipment to Hewlitt Company. The lease term is 12 years. The first payment of $456,000 was made on January 1, 2021. Remaining payments are made on December 31 each year, beginning with December 31, 2021. The equipment cost Packard Corporation $3,383,571. The present value of the lease payments is $3,417,748. The lease is appropriately classified as a sales-type lease. Assuming the interest rate for this lease is 10%, what will be the balance reported as a liability by Hewlitt in the December 31, 2022, balance sheet
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On January 1, 2021, Packard Corporation leased equipment to Hewlitt Company. The lease term is 12 ye...
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