I NEED CALCULATION/PROCESSES TO UNDERSTAND
IT.
Company A, as lessee, enters into a lease agreement on January
1, 2017, for equipment. The following data are relevant to the
lease agreement:
1. The term of the
noncancelable lease is 4 years, with no renewal option. Payments of
$845,378 are due on January 1 of each year.
2. The fair value of the
equipment on January 1, 2017 is $3,200,000. The equipment has an
economic life of 6 years with an unguaranteed...