L27
Expired15 Dell Laptops
Flagged for review: Useful life not provided — required for uniform ASC 842-10-25-2(c) classification (deviation D4).
Lease terms
- Entity
- Beckenhauer Construction Leasing, LLC (BL)
- Lessor
- Great American Financial
- Asset class
- Computer / IT
- Asset category
- Computer
- Asset ID / serial
- #27
- Commencement
- Aug 24, 2022
- Lease end
- Jul 24, 2025
- Rent commencement
- Sep 24, 2022
- Payment timing
- Arrears · monthly
- Lease term
- 36 base periods
Measurement inputs
- Discount rate
- 3.2% annual (0.267% monthly)
- Rate basis
- Imported from ROU-01 workbook (template cell J24).
- Useful life
- Not provided
- Fair value
- Not provided
- Initial direct costs
- $0.00
- Prepayment
- $0.00
- Lease incentive
- $0.00
- Undiscounted payments
- $81,245.52
Classification — ASC 842-10-25-2
Recorded classification: (manual override — Classification imported from the ROU-01 workbook.)
The engine evaluation (indeterminate) differs from the recorded classification (operating).
✗
(a) Ownership transfers by end of term
Criterion not met (judgement).
✗
(b) Purchase option reasonably certain
Criterion not met (judgement).
?
(c) Lease term is a major part of useful life
Useful life of the underlying asset is required but not provided.
?
(d) PV of payments is substantially all of fair value
Fair value of the underlying asset is required but not provided.
✗
(e) Specialized asset with no alternative use
Criterion not met (judgement).
Lease status
Initial measurement — ASC 842-20-30
- PV of lease payments
- $77,369.35
- + Initial direct costs
- $0.00
- + Prepayment
- $0.00
- + Lease incentive
- $0.00
- = ROU asset
- $77,369.35
- Lease liability
- $77,369.35
Initial journal entry
Posted Sep 24, 2022
| Account | Memo | Debit | Credit |
|---|---|---|---|
| ROU Asset - Operating Leases | Recognize ROU asset at commencement | $77,369.35 | |
| Operating Lease Liability | Recognize lease liability | $77,369.35 | |
| In balance | $77,369.35 | $77,369.35 | |
Amortization schedule
Operating lease: single straight-line lease cost; ROU amortization is the residual.
| # | Date | Payment | Liability begin | Interest | Liability end | ROU begin | ROU amort. | ROU end | Lease expense | Note |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Sep 24, 2022 | $2,256.82 | $77,369.35 | $206.32 | $75,318.85 | $77,369.35 | $2,050.50 | $75,318.85 | $2,256.82 | |
| 2 | Oct 24, 2022 | $2,256.82 | $75,318.85 | $200.85 | $73,262.88 | $75,318.85 | $2,055.97 | $73,262.88 | $2,256.82 | |
| 3 | Nov 24, 2022 | $2,256.82 | $73,262.88 | $195.37 | $71,201.43 | $73,262.88 | $2,061.45 | $71,201.43 | $2,256.82 | |
| 4 | Dec 24, 2022 | $2,256.82 | $71,201.43 | $189.87 | $69,134.48 | $71,201.43 | $2,066.95 | $69,134.48 | $2,256.82 | |
| 5 | Jan 24, 2023 | $2,256.82 | $69,134.48 | $184.36 | $67,062.02 | $69,134.48 | $2,072.46 | $67,062.02 | $2,256.82 | |
| 6 | Feb 24, 2023 | $2,256.82 | $67,062.02 | $178.83 | $64,984.03 | $67,062.02 | $2,077.99 | $64,984.03 | $2,256.82 | |
| 7 | Mar 24, 2023 | $2,256.82 | $64,984.03 | $173.29 | $62,900.50 | $64,984.03 | $2,083.53 | $62,900.50 | $2,256.82 | |
| 8 | Apr 24, 2023 | $2,256.82 | $62,900.50 | $167.73 | $60,811.41 | $62,900.50 | $2,089.09 | $60,811.41 | $2,256.82 | |
| 9 | May 24, 2023 | $2,256.82 | $60,811.41 | $162.16 | $58,716.75 | $60,811.41 | $2,094.66 | $58,716.75 | $2,256.82 | |
| 10 | Jun 24, 2023 | $2,256.82 | $58,716.75 | $156.58 | $56,616.51 | $58,716.75 | $2,100.24 | $56,616.51 | $2,256.82 | |
| 11 | Jul 24, 2023 | $2,256.82 | $56,616.51 | $150.98 | $54,510.67 | $56,616.51 | $2,105.84 | $54,510.67 | $2,256.82 | |
| 12 | Aug 24, 2023 | $2,256.82 | $54,510.67 | $145.36 | $52,399.21 | $54,510.67 | $2,111.46 | $52,399.21 | $2,256.82 | |
| 13 | Sep 24, 2023 | $2,256.82 | $52,399.21 | $139.73 | $50,282.12 | $52,399.21 | $2,117.09 | $50,282.12 | $2,256.82 | |
| 14 | Oct 24, 2023 | $2,256.82 | $50,282.12 | $134.09 | $48,159.39 | $50,282.12 | $2,122.73 | $48,159.39 | $2,256.82 | |
| 15 | Nov 24, 2023 | $2,256.82 | $48,159.39 | $128.43 | $46,031.00 | $48,159.39 | $2,128.39 | $46,031.00 | $2,256.82 | |
| 16 | Dec 24, 2023 | $2,256.82 | $46,031.00 | $122.75 | $43,896.93 | $46,031.00 | $2,134.07 | $43,896.93 | $2,256.82 | |
| 17 | Jan 24, 2024 | $2,256.82 | $43,896.93 | $117.06 | $41,757.17 | $43,896.93 | $2,139.76 | $41,757.17 | $2,256.82 | |
| 18 | Feb 24, 2024 | $2,256.82 | $41,757.17 | $111.35 | $39,611.70 | $41,757.17 | $2,145.47 | $39,611.70 | $2,256.82 | |
| 19 | Mar 24, 2024 | $2,256.82 | $39,611.70 | $105.63 | $37,460.51 | $39,611.70 | $2,151.19 | $37,460.51 | $2,256.82 | |
| 20 | Apr 24, 2024 | $2,256.82 | $37,460.51 | $99.89 | $35,303.58 | $37,460.51 | $2,156.93 | $35,303.58 | $2,256.82 | |
| 21 | May 24, 2024 | $2,256.82 | $35,303.58 | $94.14 | $33,140.90 | $35,303.58 | $2,162.68 | $33,140.90 | $2,256.82 | |
| 22 | Jun 24, 2024 | $2,256.82 | $33,140.90 | $88.38 | $30,972.46 | $33,140.90 | $2,168.44 | $30,972.46 | $2,256.82 | |
| 23 | Jul 24, 2024 | $2,256.82 | $30,972.46 | $82.59 | $28,798.23 | $30,972.46 | $2,174.23 | $28,798.23 | $2,256.82 | |
| 24 | Aug 24, 2024 | $2,256.82 | $28,798.23 | $76.80 | $26,618.21 | $28,798.23 | $2,180.02 | $26,618.21 | $2,256.82 | |
| 25 | Sep 24, 2024 | $2,256.82 | $26,618.21 | $70.98 | $24,432.37 | $26,618.21 | $2,185.84 | $24,432.37 | $2,256.82 | |
| 26 | Oct 24, 2024 | $2,256.82 | $24,432.37 | $65.15 | $22,240.70 | $24,432.37 | $2,191.67 | $22,240.70 | $2,256.82 | |
| 27 | Nov 24, 2024 | $2,256.82 | $22,240.70 | $59.31 | $20,043.19 | $22,240.70 | $2,197.51 | $20,043.19 | $2,256.82 | |
| 28 | Dec 24, 2024 | $2,256.82 | $20,043.19 | $53.45 | $17,839.82 | $20,043.19 | $2,203.37 | $17,839.82 | $2,256.82 | |
| 29 | Jan 24, 2025 | $2,256.82 | $17,839.82 | $47.57 | $15,630.57 | $17,839.82 | $2,209.25 | $15,630.57 | $2,256.82 | |
| 30 | Feb 24, 2025 | $2,256.82 | $15,630.57 | $41.68 | $13,415.43 | $15,630.57 | $2,215.14 | $13,415.43 | $2,256.82 | |
| 31 | Mar 24, 2025 | $2,256.82 | $13,415.43 | $35.77 | $11,194.38 | $13,415.43 | $2,221.05 | $11,194.38 | $2,256.82 | |
| 32 | Apr 24, 2025 | $2,256.82 | $11,194.38 | $29.85 | $8,967.41 | $11,194.38 | $2,226.97 | $8,967.41 | $2,256.82 | |
| 33 | May 24, 2025 | $2,256.82 | $8,967.41 | $23.91 | $6,734.50 | $8,967.41 | $2,232.91 | $6,734.50 | $2,256.82 | |
| 34 | Jun 24, 2025 | $2,256.82 | $6,734.50 | $17.96 | $4,495.64 | $6,734.50 | $2,238.86 | $4,495.64 | $2,256.82 | |
| 35 | Jul 24, 2025 | $2,256.82 | $4,495.64 | $11.99 | $2,250.81 | $4,495.64 | $2,244.83 | $2,250.81 | $2,256.82 | |
| 36 | Aug 24, 2025 | $2,256.82 | $2,250.81 | $6.01 | $0.00 | $2,250.81 | $2,250.81 | $0.00 | $2,256.82 | |
| Totals | $81,245.52 | $3,876.17 | $77,369.35 | $0.00 | $81,245.52 | |||||
Recurring journal entry — period 1
Representative entry; one entry per period follows the schedule. Use “Export journal entries” for the full set.
| Account | Memo | Debit | Credit |
|---|---|---|---|
| Operating Lease Expense | Straight-line lease cost | $2,256.82 | |
| Operating Lease Liability | Lease liability reduction | $2,050.50 | |
| Cash / Accounts Payable | Lease payment | $2,256.82 | |
| ROU Asset - Operating Leases | ROU amortization | $2,050.50 | |
| In balance | $4,307.32 | $4,307.32 | |