On January 2017, John took out an operating lease for a tractor for a period...
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Accounting
On January 2017, John took out an operating lease for a tractor for a period of 3 years. The annual lease payments of $50000 are paid in advance. The market interest rate is 8% and the interest rate implicit is in the lease is 9%. What is the value if the lease asset that will be recognised in the accounting record?
A. $0
b. $12885
C.$137955
D. $139165
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