NOTE: The following multiple choice questions require present value information. On January 1, 2006, Price Corporation signed a five-year noncancelable lease for certain machinery. The terms of the lease called for:
For the year ended December 31, 2006 Price should record depreciation expense for the leased equipment equal to
A) $55,000
B) $39,927
C) $47,912
D) $0

Question

NOTE: The following multiple choice questions require present value information. On January 1, 2006, Price Corporation signed a five-year noncancelable lease for certain machinery. The terms of the lease called for:
 For the year ended December 31, 2006 Price should record depreciation expense for the leased equipment equal to
A) $55,000 
B) $39,927 
C) $47,912 
D) $0

Quizplus · Accepted Answer

The Answer of NOTE: The following multiple choice questions require present value information. On January 1, 2006, Price Corporation signed a five-year noncancelable lease for certain machinery. The terms of the lease called for:
 For the year ended December 31, 2006 Price should record depreciation expense for the leased equipment equal to
A) $55,000 
B) $39,927 
C) $47,912 
D) $0

NOTE: the Following Multiple Choice Questions Require Present Value Information