On January 1,2014,Benjamin Industries leased equipment on an eight-year term at $15,000 annual rental payments,paid in advance.There is a bargain purchase option on December 31,2021 (end of lease),of $24,000.The economic life of the equipment is estimated to be 15 years.The interest rate is 12 percent.

Question

On January 1,2014,Benjamin Industries leased equipment on an eight-year term at $15,000 annual rental payments,paid in advance.There is a bargain purchase option on December 31,2021 (end of lease),of $24,000.The economic life of the equipment is estimated to be 15 years.The interest rate is 12 percent.
On January 1,2014,Benjamin Industries leased equipment on an eight-year term at $15,000 annual rental payments,paid in advance.There is a bargain purchase option on December 31,2021 (end of lease),of $24,000.The economic life of the equipment is estimated to be 15 years.The interest rate is 12 percent.

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The Answer of On January 1,2014,Benjamin Industries leased equipment on an eight-year term at $15,000 annual rental payments,paid in advance.There is a bargain purchase option on December 31,2021 (end of lease),of $24,000.The economic life of the equipment is estimated to be 15 years.The interest rate is 12 percent.

On January 1,2014,Benjamin Industries Leased Equipment on an Eight-Year Term