On January 1, 2014, LOR Company rented a machine (3-year life, no residual value, straight-line)to LEE Company for a cash rental payable each December 31, 20 11, 12, and x13.The rental is based on the regular sales price: cost, $35,665; sale price, $45,665.The agreed interest rate was 15% and the lessee retains the machine at the end of the lease term at no additional cost.
(a)The annual rental is $ _.
(b)Complete the following lease amortization schedule: (c)Give the lessor's and lessee's entries on the following dates:

Question

On January 1, 2014, LOR Company rented a machine (3-year life, no residual value, straight-line)to LEE Company for a cash rental payable each December 31, 20 11, 12, and x13.The rental is based on the regular sales price: cost, $35,665; sale price, $45,665.The agreed interest rate was 15% and the lessee retains the machine at the end of the lease term at no additional cost.
(a)The annual rental is $ _.
(b)Complete the following lease amortization schedule:  (c)Give the lessor's and lessee's entries on the following dates:

Quizplus · Accepted Answer

The Answer of On January 1, 2014, LOR Company rented a machine (3-year life, no residual value, straight-line)to LEE Company for a cash rental payable each December 31, 20 11, 12, and x13.The rental is based on the regular sales price: cost, $35,665; sale price, $45,665.The agreed interest rate was 15% and the lessee retains the machine at the end of the lease term at no additional cost.
(a)The annual rental is $ _.
(b)Complete the following lease amortization schedule:  (c)Give the lessor's and lessee's entries on the following dates:

On January 1, 2014, LOR Company Rented a Machine (3-Year