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Exercise 21-9 (Part Level Submission) The following facts pertain to a noncancelable lease agreement between Swifty Leasing Company and Nash Company, a lessee May 1, 2017 Inception date Annual lease payment due at the beginning of each year, beginning with May 1, 2017 Bargain-purchase option price at end of lease $18,758.38 $3,800 term Lease term Economic life of leased equipment Lessors cost Fair value of asset at May 1, 2017 Lessors implicit rate Lessees incremental borrowing rate 5 years 10 years $71,000 $82,000 996 9% The collectibility of the lease payments is reasonably predictable, and there are no important uncertainties surrounding the costs yet to be incurred by the lessor. The lessee assumes responsibility for all executory costs. ? (a) Your answer is correct. Compute the amount of the lease receivable at the inception of the lease. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and Round answers to 2 decimal places, e.g. 16.25.) Lease receivable at inception Click if you would like to Show Work for this question: Open Show Work

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Answer: SWIFTY LEASING COMPANY (Lessor) Lease Amortization Schedule Annual Lease Interest on Lease Recovery of Lease Lease Re

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