Courage Enterprises leased equipment from Sixth Street Leasing on January 1, 2018. Courage purchased the equipment at a cost of $2,000,000. Courage elected the short-term lease option. Appropriate adjusting entries are made annually.

Required:
Prepare appropriate journal entries for Courage from the beginning of the lease through December 31, 2018.

Question

Courage Enterprises leased equipment from Sixth Street Leasing on January 1, 2018. Courage purchased the equipment at a cost of $2,000,000. Courage elected the short-term lease option. Appropriate adjusting entries are made annually.

Required:
Prepare appropriate journal entries for Courage from the beginning of the lease through December 31, 2018.

Quizplus · Accepted Answer

The Answer of Courage Enterprises leased equipment from Sixth Street Leasing on January 1, 2018. Courage purchased the equipment at a cost of $2,000,000. Courage elected the short-term lease option. Appropriate adjusting entries are made annually.

Required:
Prepare appropriate journal entries for Courage from the beginning of the lease through December 31, 2018.

Courage Enterprises Leased Equipment from Sixth Street Leasing on January