(a) Prepare the January 1 journal entry at the start of the lease to record any asset or liability. (b) Prepare the January 1 journal entry to record the first $15,252 cash lease payment. (b) Prepare the journal entry to record the cash lease payment at the end of Year 1 and the end of Year 2. (c) Prepare the journal entry made at the end of each year to record straight-line amortization, assuming zero salvage value at the end of the six-year lease term.

(a) Prepare the January 1 journal entry at the start of the lease to record any asset or liability. (b) Prepare the January 1 journal entry to record the first $15,252 cash lease payment. (b) Prepare the journal entry to record the cash lease payment at the end of Year 1 and the end of Year 2. (c) Prepare the journal entry made at the end of each year to record straight-line amortization, assuming zero salvage value at the end of the six-year lease term.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter20: Accounting For Leases

Section: Chapter Questions

Problem 4RE: Use the information in RE20-3. Prepare the journal entries that Garvey Company would make in the...

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Need help to do these questions and do the amortization schedule and record the journal entries.