Essay
On January 1 2017 Muddle Inc. entered into an agreement to lease equipment from Albert Corporation. The lease agreement requires five annual rental payments of $90000 beginning December 31 2017. The present value of the rental payments is $342117. The lease transfers substantially all the benefits and risks of ownership to Muddle.
Instructions
Prepare the entry to record the lease agreement on the books of Malcolm Inc. on January 1 2017.
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