Use the Following Information to Answer Question

question 55

Multiple Choice

Use the following information to answer question
Canin Cranes Co. leased an asset under the following terms:
-Assume Canin Cranes decides to account for the lease as a finance lease. The lessee's entry to record the leased asset and lease acquired would include a

• A) debit to asset under lease for $35,500.
• B) debit to asset under lease for $40,000.
• C) credit to obligation under finance lease for $7,500.
• D) credit to lease payable for $7,500.

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Definitions:

Ages

The duration for which an individual or object has been in existence.

Ice Cream Shop

A retail establishment that sells ice cream, gelato, sorbet, and/or frozen yogurt to consumers.

Weight

A measure of the force exerted by gravity on an object, commonly measured in units such as pounds or kilograms.

Distribution

In statistics, the way in which data points are spread or distributed across a range of values.