Business, 24.03.2020 22:36 ajbrock1004

Minnetonka Company leases an asset. Information regarding the lease:
Fair value of the asset: $400,000.
Useful life of the asset: 6 years with no salvage value. Lease term is 5 years. Annual lease payments are $60,000
Implicit interest rate: 11%.
Minnetonka can purchase the asset at the end of the lease period for $50,000.

What type of lease is this?

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Minnetonka Company leases an asset. Information regarding the lease:
Fair value of the asset:...

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