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the amount to be recorded as the cost of an asset under finance lease is equal...

the amount to be recorded as the cost of an asset under finance lease is equal to the carrying value of the asset on the lessor’s books. present value of the lease payments plus the present value of any unguaranteed residual value. present value of the lease payments. present value of the lease payments or the fair value of the asset, whichever is lower.

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The amount to be recorded as the cost of an asset under finance lease is equal to the present value of the minimum lease payments or the fair value of the asset,whichever is lower.
The leesee records the asset in it's books at present value of the lease payments to be over life of the lease or the fair value of the asset on the date of lease, whichever is lower
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