alleryStart learning →A lessee's asset has fair value Rs 2,35,500 and PV of payments Rs 2,27,805. It is recorded at
ARs 7,695
BRs 4,63,305
CRs 2,35,500
DRs 2,27,805
Answer & Solution
Correct answer: D. Rs 2,27,805
Fair value exceeds the present value of the lessee's minimum lease payments, so the lower present value of Rs 2,27,805 is recorded.
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