The lease payments are due at the beginning of each year. The lease contract provides...

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Accounting

The lease payments are due at the beginning of each year. The lease contract provides Sunset Co. an option to purchase the machine at the end of the lease term for P100,000. Sunset Co. is reasonably certain to the exercise the option. What amount of interest expense should Sunset Co. recognize on the lease in 20x1? a.139,036b.135,181c.119,036d.115,181

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