Lessor leasing company agrees to lease equipment to Lessee corp.
on Jan 1, 2019, both Lessor and Lessee follows IFRS. The following
information relates to the lease agreement:
the lease term is 7 years, no renewal,
Lessor acquired the equipment this day Jan 1, 2019 for $560,000
cash, the useful life 10 years
at the end of the term the equipment to be returned to the
lessor with guaranteed residual value of $40,000
the lease agreement require annual rental payments...