Essay
On January 1, 2017, Everton Company leased equipment under a 3-year lease with payments of $10,000 on January 1, 2017, 2018, and 2019. The present value of the lease payments at a discount rate of 9% is $27,591, which includes the immediate cash payment on January 1, 2017. If the lease is considered an operating lease, how much is rent expense for 2017?
Correct Answer:
Verified
Correct Answer:
Verified
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