Required: Prepare a lease amortization schedule and appropriate entries for Manufacturers Southern from the beginning of the lease through January 1, 2025. Amortization is recorded at the end of each fiscal year (December 31) on a straight-line basis. Complete this question by entering your answers in the tabs below. Amortization General Schedule Journal Record the appropriate entries for Manufacturers Southern from the beginning of the lease through January 1, 2025. Amortization recorded at the end of each fiscal year (December 31) on a straight-line basis. Note: Enter your answers in whole dollars and not in millions. Round your intermediate and final answers to the nearest whole doll no entry is required for a transaction/event, select "No journal entry required" in the first account field.
Required: Prepare a lease amortization schedule and appropriate entries for Manufacturers Southern from the beginning of the lease through January 1, 2025. Amortization is recorded at the end of each fiscal year (December 31) on a straight-line basis. Complete this question by entering your answers in the tabs below. Amortization General Schedule Journal Record the appropriate entries for Manufacturers Southern from the beginning of the lease through January 1, 2025. Amortization recorded at the end of each fiscal year (December 31) on a straight-line basis. Note: Enter your answers in whole dollars and not in millions. Round your intermediate and final answers to the nearest whole doll no entry is required for a transaction/event, select "No journal entry required" in the first account field.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question

Transcribed Image Text:Manufacturers Southern leased high-tech electronic equipment from Edison Leasing on January 1, 2024. Edison purchased
the equipment from International Machines at a cost of $135.990.
Note: Use tables, Excel, or a financial calculator. (EV of $1., PV of $1. EVA of $1. PVA of $1. FVAD of $1 and PVAD of $1)
Related Information:
Lease term
Quarterly rental payments
Economic life of asset
Fair value of asset
Implicit interest rate (Also
lessee's incremental borrowing
rate)
2 years (8 quarterly periods)
at the beginning of each period
years
$ 18,200
2
$ 135,990
Required:
Prepare a lease amortization schedule and appropriate entries for Manufacturers Southern from the beginning of the lease
through January 1, 2025. Amortization is recorded at the end of each fiscal year (December 31) on a straight-line basis.
Amortization General
Schedule
Journal
Complete this question by entering your answers in the tabs below.
Record the appropriate entries for Manufacturers Southern from the beginning of the lease through January 1, 2025. Amortization
recorded at the end of each fiscal year (December 31) on a straight-line basis.
Note: Enter your answers in whole dollars and not in millions. Round your intermediate and final answers to the nearest whole doll
no entry is required for a transaction/event, select "No journal entry required" in the first account field.
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