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On December 31, 2020, Lewis Ltd

Question 9

Multiple Choice

On December 31, 2020, Lewis Ltd. sold a machine to Martin Inc. and simultaneously leased it back for one year. Pertinent information at this date follows: On December 31, 2020, Lewis Ltd. sold a machine to Martin Inc. and simultaneously leased it back for one year. Pertinent information at this date follows: On Lewis's December 31, 2020 statement of financial position, the deferred profit from the sale of this machine should be reported as A) $ 17,000. B) $ 15,000. C) $ 2,000. D) $ 0. On Lewis's December 31, 2020 statement of financial position, the deferred profit from the sale of this machine should be reported as


A) $ 17,000.
B) $ 15,000.
C) $ 2,000.
D) $ 0.

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