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Question - On January 1, 20x1, lessor enters into a 4 years lease of equipment. The equipment has a remaining useful life of 15 years. The annual lease payments, payable at the end of each year are as follows:
20x1 - P100,000
20x2 - 120,000
20x3 - 140,000
20x4 - 160,000
As an inducement to enter to lease, Lessor granted Lessee the first six months of the lease as rent-free. Lessor receives a lease bonus of P20,000.
Required - Provides all the journal entries.
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in this will focus more on the accounting and management of receivables because it is a more difficult topic. accounts
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