Year 1 - 12 x $3,000 equals $36,000

Year 2 - 12 x $4,500 equals $54,000

Year 3 - 12 x $6,000 equals $72,000

Year 4 - 12 x $6,000 equals $72,000

Dunn's rent payments were due on the first day of the month, beginning on April 1, Year 1. What amount should Dunn report as rent expense in its monthly income statement for April, Year 3? F

PV factor for ordinary annuity of 4 years is 3.465

PV factor for annuity due of 4 years is 3.673

What is the initial lease liability? C

with annual payments of $18,000 per year. The first payment will be made December 31 and the interest rate implicit in the lease is 5.75 percent. (The present value of an ordinary annuity for three years at 5.75% is 2.685424. and present value of annuity due for 3 years at 5.75% is 3.362). What amount will lessee record ROUA as? B