L34
financeActive6 Laptops #3146664
Lease terms
- Entity
- Beckenhauer Construction Leasing, LLC (BL)
- Lessor
- Great American Financial
- Asset class
- Computer / IT
- Asset category
- Computer
- Asset ID / serial
- L34
- Commencement
- May 7, 2025
- Lease end
- Apr 7, 2029
- Rent commencement
- May 7, 2025
- Payment timing
- Arrears · monthly
- Lease term
- 48 base periods
Measurement inputs
- Discount rate
- 4.77% annual (0.397% monthly)
- Rate basis
- Imported from ROU-01 workbook (template cell J24).
- Useful life
- 60 months
- Fair value
- Not provided
- Initial direct costs
- $0.00
- Prepayment
- $0.00
- Lease incentive
- $0.00
- Undiscounted payments
- $21,411.63
Classification — ASC 842-10-25-2
Recorded classification: finance (manual override — Classification imported from the ROU-01 workbook.)
✗
(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
Lease term 48mo / useful life 60mo = 80% (guideline 75%).
?
(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
- $19,459.65
- + Initial direct costs
- $0.00
- + Prepayment
- $0.00
- + Lease incentive
- $0.00
- = ROU asset
- $19,459.65
- Lease liability
- $19,459.65
Initial journal entry
Posted May 7, 2025
| Account | Memo | Debit | Credit |
|---|---|---|---|
| ROU Asset - Finance Leases | Recognize ROU asset at commencement | $19,459.65 | |
| Finance Lease Liability | Recognize lease liability | $19,459.65 | |
| In balance | $19,459.65 | $19,459.65 | |
Amortization schedule
Finance lease: interest on the liability + straight-line amortization of the ROU asset.
| # | Date | Payment | Liability begin | Interest | Liability end | ROU begin | ROU amort. | ROU end | Total expense | Note |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | May 7, 2025 | $466.55 | $19,459.65 | $77.35 | $19,070.45 | $19,459.65 | $405.41 | $19,054.24 | $482.76 | |
| 2 | Jun 7, 2025 | $445.64 | $19,070.45 | $75.81 | $18,700.62 | $19,054.24 | $405.41 | $18,648.83 | $481.22 | |
| 3 | Jul 7, 2025 | $445.64 | $18,700.62 | $74.33 | $18,329.31 | $18,648.83 | $405.41 | $18,243.42 | $479.74 | |
| 4 | Aug 7, 2025 | $445.64 | $18,329.31 | $72.86 | $17,956.53 | $18,243.42 | $405.41 | $17,838.01 | $478.27 | |
| 5 | Sep 7, 2025 | $445.64 | $17,956.53 | $71.38 | $17,582.27 | $17,838.01 | $405.41 | $17,432.60 | $476.79 | |
| 6 | Oct 7, 2025 | $445.64 | $17,582.27 | $69.89 | $17,206.52 | $17,432.60 | $405.41 | $17,027.19 | $475.30 | |
| 7 | Nov 7, 2025 | $445.64 | $17,206.52 | $68.40 | $16,829.28 | $17,027.19 | $405.41 | $16,621.78 | $473.81 | |
| 8 | Dec 7, 2025 | $445.64 | $16,829.28 | $66.90 | $16,450.54 | $16,621.78 | $405.41 | $16,216.37 | $472.31 | |
| 9 | Jan 7, 2026 | $445.64 | $16,450.54 | $65.39 | $16,070.29 | $16,216.37 | $405.41 | $15,810.96 | $470.80 | |
| 10 | Feb 7, 2026 | $445.64 | $16,070.29 | $63.88 | $15,688.53 | $15,810.96 | $405.41 | $15,405.55 | $469.29 | |
| 11 | Mar 7, 2026 | $445.64 | $15,688.53 | $62.36 | $15,305.25 | $15,405.55 | $405.41 | $15,000.14 | $467.77 | |
| 12 | Apr 7, 2026 | $445.64 | $15,305.25 | $60.84 | $14,920.45 | $15,000.14 | $405.41 | $14,594.73 | $466.25 | |
| 13 | May 7, 2026 | $445.64 | $14,920.45 | $59.31 | $14,534.12 | $14,594.73 | $405.41 | $14,189.32 | $464.72 | |
| 14 | Jun 7, 2026 | $445.64 | $14,534.12 | $57.77 | $14,146.25 | $14,189.32 | $405.41 | $13,783.91 | $463.18 | |
| 15 | Jul 7, 2026 | $445.64 | $14,146.25 | $56.23 | $13,756.84 | $13,783.91 | $405.41 | $13,378.50 | $461.64 | |
| 16 | Aug 7, 2026 | $445.64 | $13,756.84 | $54.68 | $13,365.88 | $13,378.50 | $405.41 | $12,973.09 | $460.09 | |
| 17 | Sep 7, 2026 | $445.64 | $13,365.88 | $53.13 | $12,973.37 | $12,973.09 | $405.41 | $12,567.68 | $458.54 | |
| 18 | Oct 7, 2026 | $445.64 | $12,973.37 | $51.57 | $12,579.30 | $12,567.68 | $405.41 | $12,162.27 | $456.98 | |
| 19 | Nov 7, 2026 | $445.64 | $12,579.30 | $50.00 | $12,183.66 | $12,162.27 | $405.41 | $11,756.86 | $455.41 | |
| 20 | Dec 7, 2026 | $445.64 | $12,183.66 | $48.43 | $11,786.45 | $11,756.86 | $405.41 | $11,351.45 | $453.84 | |
| 21 | Jan 7, 2027 | $445.64 | $11,786.45 | $46.85 | $11,387.66 | $11,351.45 | $405.41 | $10,946.04 | $452.26 | |
| 22 | Feb 7, 2027 | $445.64 | $11,387.66 | $45.27 | $10,987.29 | $10,946.04 | $405.41 | $10,540.63 | $450.68 | |
| 23 | Mar 7, 2027 | $445.64 | $10,987.29 | $43.67 | $10,585.32 | $10,540.63 | $405.41 | $10,135.22 | $449.08 | |
| 24 | Apr 7, 2027 | $445.64 | $10,585.32 | $42.08 | $10,181.76 | $10,135.22 | $405.41 | $9,729.81 | $447.49 | |
| 25 | May 7, 2027 | $445.64 | $10,181.76 | $40.47 | $9,776.59 | $9,729.81 | $405.41 | $9,324.40 | $445.88 | |
| 26 | Jun 7, 2027 | $445.64 | $9,776.59 | $38.86 | $9,369.81 | $9,324.40 | $405.41 | $8,918.99 | $444.27 | |
| 27 | Jul 7, 2027 | $445.64 | $9,369.81 | $37.24 | $8,961.41 | $8,918.99 | $405.41 | $8,513.58 | $442.65 | |
| 28 | Aug 7, 2027 | $445.64 | $8,961.41 | $35.62 | $8,551.39 | $8,513.58 | $405.41 | $8,108.17 | $441.03 | |
| 29 | Sep 7, 2027 | $445.64 | $8,551.39 | $33.99 | $8,139.74 | $8,108.17 | $405.41 | $7,702.76 | $439.40 | |
| 30 | Oct 7, 2027 | $445.64 | $8,139.74 | $32.36 | $7,726.46 | $7,702.76 | $405.41 | $7,297.35 | $437.77 | |
| 31 | Nov 7, 2027 | $445.64 | $7,726.46 | $30.71 | $7,311.53 | $7,297.35 | $405.41 | $6,891.94 | $436.12 | |
| 32 | Dec 7, 2027 | $445.64 | $7,311.53 | $29.06 | $6,894.95 | $6,891.94 | $405.41 | $6,486.53 | $434.47 | |
| 33 | Jan 7, 2028 | $445.64 | $6,894.95 | $27.41 | $6,476.72 | $6,486.53 | $405.41 | $6,081.12 | $432.82 | |
| 34 | Feb 7, 2028 | $445.64 | $6,476.72 | $25.74 | $6,056.82 | $6,081.12 | $405.41 | $5,675.71 | $431.15 | |
| 35 | Mar 7, 2028 | $445.64 | $6,056.82 | $24.08 | $5,635.26 | $5,675.71 | $405.41 | $5,270.30 | $429.49 | |
| 36 | Apr 7, 2028 | $445.64 | $5,635.26 | $22.40 | $5,212.02 | $5,270.30 | $405.41 | $4,864.89 | $427.81 | |
| 37 | May 7, 2028 | $445.64 | $5,212.02 | $20.72 | $4,787.10 | $4,864.89 | $405.41 | $4,459.48 | $426.13 | |
| 38 | Jun 7, 2028 | $445.64 | $4,787.10 | $19.03 | $4,360.49 | $4,459.48 | $405.41 | $4,054.07 | $424.44 | |
| 39 | Jul 7, 2028 | $445.64 | $4,360.49 | $17.33 | $3,932.18 | $4,054.07 | $405.41 | $3,648.66 | $422.74 | |
| 40 | Aug 7, 2028 | $445.64 | $3,932.18 | $15.63 | $3,502.17 | $3,648.66 | $405.41 | $3,243.25 | $421.04 | |
| 41 | Sep 7, 2028 | $445.64 | $3,502.17 | $13.92 | $3,070.45 | $3,243.25 | $405.41 | $2,837.84 | $419.33 | |
| 42 | Oct 7, 2028 | $445.64 | $3,070.45 | $12.21 | $2,637.02 | $2,837.84 | $405.41 | $2,432.43 | $417.62 | |
| 43 | Nov 7, 2028 | $445.64 | $2,637.02 | $10.48 | $2,201.86 | $2,432.43 | $405.41 | $2,027.02 | $415.89 | |
| 44 | Dec 7, 2028 | $445.64 | $2,201.86 | $8.75 | $1,764.97 | $2,027.02 | $405.40 | $1,621.62 | $414.15 | |
| 45 | Jan 7, 2029 | $445.64 | $1,764.97 | $7.02 | $1,326.35 | $1,621.62 | $405.41 | $1,216.21 | $412.43 | |
| 46 | Feb 7, 2029 | $445.64 | $1,326.35 | $5.27 | $885.98 | $1,216.21 | $405.40 | $810.81 | $410.67 | |
| 47 | Mar 7, 2029 | $445.64 | $885.98 | $3.52 | $443.86 | $810.81 | $405.41 | $405.40 | $408.93 | |
| 48 | Apr 7, 2029 | $445.64 | $443.86 | $1.78 | $0.00 | $405.40 | $405.40 | $0.00 | $407.18 | |
| Totals | $21,411.63 | $1,951.98 | $19,459.65 | $0.00 | $21,411.63 | |||||
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 |
|---|---|---|---|
| Interest Expense | Interest accretion | $77.35 | |
| Finance Lease Liability | Interest accretion | $77.35 | |
| Finance Lease Liability | Lease payment | $466.55 | |
| Cash / Accounts Payable | Lease payment | $466.55 | |
| Amortization of ROU Asset | ROU amortization | $405.41 | |
| Accumulated Amortization - Finance ROU | ROU amortization | $405.41 | |
| In balance | $949.31 | $949.31 | |