Warren Co. recorded a right-of-use asset of $830,000 in a 10-year finance lease. The interest rate charged by the lessor was 10%. The balance in the right-of-use asset after two years will be: Multiple Choice $664,000. $982,858. $833,458 $672,300.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Warren Co. recorded a right-of-use asset of $830,000 in a 10-year finance lease. The interest rate charged by the lessor was 10%. The balance in the right-of-use asset after two years will be:
Multiple Choice
$664,000.
$982,858.
$833,458
$672,300.
Transcribed Image Text:Warren Co. recorded a right-of-use asset of $830,000 in a 10-year finance lease. The interest rate charged by the lessor was 10%. The balance in the right-of-use asset after two years will be: Multiple Choice $664,000. $982,858. $833,458 $672,300.
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