On July 1 2015, Duncan Ltd entered a 3-year non-cancellable lease agreement with a nance company for equipment. The annual lease payments are $38 803 commencing on 30 June 2016. The fair value of the equipment was $100 000 and the rate implicit in the lease was 8%. Assume the lease was a nance lease. Duncan uses straight-line depreciation for similar equipment.
Required
Hi there! Click one of our representatives below and we will get back to you as soon as possible.