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25 Ax & fox A B D E Part 1 Lessor leases asset to...

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Accounting

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25 Ax & fox A B D E Part 1 Lessor leases asset to Lessee on 1/1/2020. Lease term is 8 years. Lease payment is $97,580.60/year with the first payment due at the inception of the lease. The lease payment includes $10,000 payment for hazard insurance and taxes that the Lessor is paying on Lessee's behalf. Lessor's implicit rate is 12%/year and this rate is known by Lessee. What is the lease payment amount that Lessee will use in present value calculations? 1 Part 2 Lessor leases asset to Lessee on 1/1/2020. Lease term is 8 years. Lease payment is $97,580.60/year with the first payment due at the inception of the lease. The lease payment includes $10,000 payment for an annual service contract on the leased asset that the Lessor is paying on Lessee's behalf. Lessor's implicit rate is 12%/year and this rate is known by Lessee. What is the lease payment amount that Lessee will use in present value calculations? + 2 B

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