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Lessor Accounting with Guaranteed Residual Value Use the information for Edom Company in E20-8, except that the residual value was guaranteed by Davis Company (the lessee). Required: 1. Assuming that the lease is a sales-type lease, calculate the selling price. 2. Prepare a table summarizing the lease receipts and interest income earned by Edom. 3. Prepare journal entries for Edom tor the years 2019 and 2020.

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Intermediate Accounting: Reporting...

3rd Edition
James M. Wahlen + 2 others
Publisher: Cengage Learning
ISBN: 9781337788281
BuyFind

Intermediate Accounting: Reporting...

3rd Edition
James M. Wahlen + 2 others
Publisher: Cengage Learning
ISBN: 9781337788281

Solutions

Chapter
Section
Chapter 20, Problem 9E
Textbook Problem

Lessor Accounting with Guaranteed Residual Value Use the information for Edom Company in E20-8, except that the residual value was guaranteed by Davis Company (the lessee).

Required:

  1. 1. Assuming that the lease is a sales-type lease, calculate the selling price.
  2. 2. Prepare a table summarizing the lease receipts and interest income earned by Edom.
  3. 3. Prepare journal entries for Edom tor the years 2019 and 2020.

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Chapter 20 Solutions

Intermediate Accounting: Reporting And Analysis
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