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Business, 26.03.2021 03:50 haleybain6353

On December 31, 2019, Blossom Company leased machinery from Terminator Corporation for an agreed upon lease term of 3 years. Blossom agreed to make annual lease payments of $14,000, beginning on December 31, 2019. The expected residual value of the machinery at the end of the lease term is $7,000, though Blossom does not guarantee any residual value to Terminator. What amount will Blossom record as its lease liability on December 31, 2019, if its incremental borrowing rate is 9% and the implicit rate of the lease is unknown

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