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On January 1,2028, XYZ Company lea sed equipment from Young Leasing Company. The lease terms...

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Accounting

On January 1,2028, XYZ Company lea sed equipment from Young Leasing Company. The lease terms re quire annual payments of $100,000 for four years with the fi rst payment being due on December 31,2028. The interest rat e on the lease is 10%, and XYZ Company will amortize the lease d asset using the straight line method. At January 1,2028, th e equipment had an eight year remaining useful life and the lease contract requires the equipment to be returned to You ng Leasing Company at the end of the lease
Calculate the lease liability balan ce at December 31,2030 after the third lease payment is ma de.
You will need to use the time value of money table factors posted in carmen to answer this que stion. To access these factors, click modules and then scr oll to week 10. Click on the link labeled present & future v alue table factors. No credit will be awarded for this que stion using a means other than these posted table factors to answer this question.
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