Each of the four independent situations below describes a
sales-type lease in which annual lease payments of $145,000 are
payable at the beginning of each year. Each is a finance lease for
the lessee. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1
and PVAD of $1) (Use appropriate factor(s) from the tables
provided.)
Situation |
||||
1 |
2 |
3 |
4 |
|
Lease term (years) |
6 |
6 |
7 |
7 |
Lessor's and lessee's interest rate |
11% |
10% |
9% |
12% |
Residual value: |
||||
Estimated fair value |
0 |
$59,000 |
$8,900 |
$59,000 |
Guaranteed by lessee |
0 |
0 |
$8,900 |
$69,000 |
Determine the following amounts at the beginning of the lease
(Round your intermediate and final answer to the nearest
whole
Ans:
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