What is the book value of the lease liability on Reagan's December 31,2017,balance sheet (after the third lease payment is made)?
A)$280,531.
B)$190,530.
C)$266,280.
D)$356,280.

Question

Quizplus · Accepted Answer

The book value of the lease liability after the third lease payment is calculated by taking the initial lease liability and subtracting the principal portion of the lease payments made up to that point.

What Is the Book Value of the Lease Liability on Reagan's