On January 1, 2022, Payton Corp. leases a building for three years from Oladipo Finance. At the date of lease inception,

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899603
Joined: Mon Aug 02, 2021 8:13 am

On January 1, 2022, Payton Corp. leases a building for three years from Oladipo Finance. At the date of lease inception,

Post by answerhappygod »

On January 1 2022 Payton Corp Leases A Building For Three Years From Oladipo Finance At The Date Of Lease Inception 1
On January 1 2022 Payton Corp Leases A Building For Three Years From Oladipo Finance At The Date Of Lease Inception 1 (32.63 KiB) Viewed 3 times
On January 1, 2022, Payton Corp. leases a building for three years from Oladipo Finance. At the date of lease inception, the present value of minimum lease payments is properly calculated at $175,000, using Payton's incremental borrowing rate of 10%. Lease expense is properly recorded as $53,000 for 2022, and the lease is properly classified as an operating lease. What is the carrying value of the right-of-use asset at December 31, 2022 after all necessary adjustments?
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Top
Post Reply

Return to “Archived Questions & Answers”