sandeepgill
May 25, 2010, 09:34 AM
. Johnson Institute leased a new machine having an expected useful life of 12 years. The noncancelable lease term is 10 years, and Johnson may exercise a purchase option at the end of the noncancelable term. The machine should be capitalized by Johnson and depreciated over
a. 9 years.
b. 12 years.
c. 10 years.
d. 10 or 12 years at Johnson's option.
a. 9 years.
b. 12 years.
c. 10 years.
d. 10 or 12 years at Johnson's option.