On September 30, 2021, Ferguson Imports leased a warehouse. Terms of the lease require Ferguson to make 10 annual lease payments of $57,000 with the first payment due immediately. Accounting standards require the company to record a lease liability when recording this type of lease. (FV of $1, PV of $1, EVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Assume a 6% interest rate. What amount should Ferguson record the lease liability on September 30, 2021, before the first paymenti made? (Round your final answers to nearest whole dollar amount.) Table or calculator function: Lease Payment: n = PV of Lease:
On September 30, 2021, Ferguson Imports leased a warehouse. Terms of the lease require Ferguson to make 10 annual lease payments of $57,000 with the first payment due immediately. Accounting standards require the company to record a lease liability when recording this type of lease. (FV of $1, PV of $1, EVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Assume a 6% interest rate. What amount should Ferguson record the lease liability on September 30, 2021, before the first paymenti made? (Round your final answers to nearest whole dollar amount.) Table or calculator function: Lease Payment: n = PV of Lease:
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:On September 30, 2021, Ferguson Imports leased a warehouse. Terms of the lease require Ferguson to make 10 annual lease
payments of $57,000 with the first payment due immediately. Accounting standards require the company to record a lease liability
when recording this type of lease. (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.)
Assume a 6% interest rate. What amount should Ferguson record the lease liability on September 30, 2021, before the first payment is
made? (Round your final answers to nearest whole dollar amount.)
Table or calculator function:
Lease Payment:
n =
PV of Lease:
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