Leasing For lessor

Question 1

Statements effect

Answer 1

Fin lease
BS - AR pmt (Pv), Principal
IS - interest

Oper lease
BS - asst
IS - lease rev, depreciation

IS effect Fin vs Oper
Tot NI same, NI early yrs incr, tax early yrs incr, cfo decr, cfi incr, tot CF same