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Problem 4 ABC Lessee Co, enters a lease agreement with XYZ Co. on January 1,...

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Problem 4 ABC Lessee Co, enters a lease agreement with XYZ Co. on January 1, 2024, under which XYZ Co. leases a machine to ABC Lessee Co. Information pertaining to the lease is provided below: - Lease term is 9 years - ABC Lessee Co. pays initial direct costs of \$2,350. - The lease term is non-cancelable, requiring equal payments due at the beginning of each year in the amount of $4,175. - XYZ Co. sets the lease payments to earn a 6% rate of return on the lease. ABC Lessee Co. is aware of this rate. Required: Calculate the lease liability and the right of use asset

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