b. Calculate the amount of the annual rental payment.

c. Prepare all the necessary journal entries for Bensen for 2019.
d. Suppose the collectibility of the lease payments was not probable for Bensen. Prepare all
necessary journal entries for the company in 2019.
e. Prepare all the necessary journal entries for Flynn for 2019.
TUGAS 7: AKUNTANSI
f. Discuss SEWA
the effect on GUNA
the journal USAHA
entry for Flynn at lease commencement, assuming initial direct
costs of $2,000 are incurred by Flynn to negotiate the lease.
E21.13 (LO2, 3) (Lessee-Lessor Entries; Sales-Type Lease; Guaranteed Residual Value) Phelps plc
leases a building to Walsh Ltd. on January 1, 2019. The following facts pertain to the lease
agreement.
1. The lease term is 5 years, with equal annual rental payments of £4,703 at the beginning of each
year.
2. Ownership does not transfer at the end of the lease term, there is no bargain purchase option,
and the asset is not of a specialized nature.
3. The building has a fair value of £23,000, a book value to Phelps of £16,000, and a useful life of 6
years.
4. At the end of the lease term, Phelps and Walsh expect there to be an unguaranteed residual
value of £4,000.
5. Phelps wants to earn a return of 8% on the lease, and collectibility of the payments is probable.
This rate is known by Walsh.
Instructions

a. How would Phelps (lessor) classify this lease? How would Phelps initially measure the lease
receivable, and how would Walsh initially measure the lease liability and right-of-use asset?
b. Using the original facts of the lease, show the journal entries to be made by both Phelps and
Walsh in 2019.
c. Suppose the entire expected residual value of £4,000 is guaranteed by Walsh. How will this
change your answer to part E21.13a.?
d. Assume the same facts as part E21.13c., except the expected residual value is £3,000. Does
your answer change?
E21.14 (LO 2, 4) (Lessee Entries; Initial Direct Costs) Use the information for the Phelps/Walsh lease
in E21.13, except that Walsh was unaware of the implicit rate used in the lease by Phelps and has an
incremental borrowing rate of 9%.
Instructions

How would your answer to E21.13a. change?

E21.15 (LO2) (Amortization Schedule and Journal Entries for Lessee) Laura Leasing SA signs an
agreement on January 1, 2019, to lease equipment to Plote AG. The following information relates to
this agreement.
1. The term of the non-cancelable lease is 3 years with no renewal option. The equipment has an
estimated economic life of 5 years.
2. The fair value of the asset at January 1, 2019, is €80,000.
3. The asset will revert to the lessor at the end of the lease term, at which time the asset is expected
to have a residual value of €7,000, none of which is guaranteed.
4. The agreement requires equal annual rental payments of €25,562.96 to the lessor, beginning on
January 1, 2019.
5. The lessee's incremental borrowing rate is 5%. The lessor's implicit rate is 4% and is unknown to
the lessee.
6. Plote uses the straight-line depreciation method for all equipment.
Instructions

(Round all numbers to the nearest cent.)