Prepare the journal entries for the december payment

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Jane Wright Company needs an amortization schedule for a 6-year finance lease. The implicit interest rate in the lease is 4%. The beginning of the lease is December 31, 2021. Lease payments are $300,000 and made each December 31 starting at December 31, 2021.

Problem a.) Prepare the Amortization schedule. Show calculations below the table, rounding each amount to the nearest dollar.

Date
Payments
Effective Interest
Decrease in Balance
Outstanding Balance

Problem b.) Prepare the journal entries for the December 31, 2021 payment and the December 31, 2022 payment.

Reference no: EM132702203

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