BCI Leases

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PU77

financeActive

1FT7W2BN9REC56140 - Ford F-250 XLT 4x4 SD Crew Cab 6.75 ft. box 160 in. WB SRW

Flagged for review: Month-1 payment bundles Enterprise "Total Initial Charges" — split into lease payment / IDC / prepayment before activation (architecture §6.4).

Lease terms

Entity
Beckenhauer Construction Leasing, LLC (BL)
Lessor
Enterprise
Asset class
Vehicle
Asset category
Vehicle
Asset ID / serial
PU 77 · 1FT7W2BN9REC56140
Commencement
Mar 6, 2024
Lease end
Feb 6, 2028
Rent commencement
Mar 6, 2024
Payment timing
Arrears · monthly
Lease term
48 base periods

Measurement inputs

Discount rate
4.435% annual (0.37% monthly)
Rate basis
Imported from ROU-01 workbook (template cell J24).
Useful life
60 months
Fair value
$55,628.08
Initial direct costs
$0.00
Prepayment
$0.00
Lease incentive
$0.00
Undiscounted payments
$63,206.59

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
PV 58942.65 / fair value 55628.08 = 106% (guideline 90%).
(e) Specialized asset with no alternative use
Criterion not met (judgement).

Lease status

Initial measurement — ASC 842-20-30

PV of lease payments
$58,942.65
+ Initial direct costs
$0.00
+ Prepayment
$0.00
+ Lease incentive
$0.00
= ROU asset
$58,942.65
Lease liability
$58,942.65

Initial journal entry

Posted Mar 6, 2024

AccountMemoDebitCredit
ROU Asset - Finance LeasesRecognize ROU asset at commencement$58,942.65
Finance Lease LiabilityRecognize lease liability$58,942.65
In balance$58,942.65$58,942.65

Amortization schedule

Finance lease: interest on the liability + straight-line amortization of the ROU asset.

#DatePaymentLiability beginInterestLiability endROU beginROU amort.ROU endTotal expenseNote
1Mar 6, 2024$14,798.94$58,942.65$217.84$44,361.55$58,942.65$1,227.97$57,714.68$1,445.81
2Apr 6, 2024$1,029.95$44,361.55$163.95$43,495.55$57,714.68$1,227.97$56,486.71$1,391.92
3May 6, 2024$1,029.95$43,495.55$160.75$42,626.35$56,486.71$1,227.97$55,258.74$1,388.72
4Jun 6, 2024$1,029.95$42,626.35$157.54$41,753.94$55,258.74$1,227.97$54,030.77$1,385.51
5Jul 6, 2024$1,029.95$41,753.94$154.32$40,878.31$54,030.77$1,227.97$52,802.80$1,382.29
6Aug 6, 2024$1,029.95$40,878.31$151.08$39,999.44$52,802.80$1,227.97$51,574.83$1,379.05
7Sep 6, 2024$1,029.95$39,999.44$147.83$39,117.32$51,574.83$1,227.97$50,346.86$1,375.80
8Oct 6, 2024$1,029.95$39,117.32$144.57$38,231.94$50,346.86$1,227.97$49,118.89$1,372.54
9Nov 6, 2024$1,029.95$38,231.94$141.30$37,343.29$49,118.89$1,227.97$47,890.92$1,369.27
10Dec 6, 2024$1,029.95$37,343.29$138.01$36,451.35$47,890.92$1,227.97$46,662.95$1,365.98
11Jan 6, 2025$1,029.95$36,451.35$134.72$35,556.12$46,662.95$1,227.97$45,434.98$1,362.69
12Feb 6, 2025$1,029.95$35,556.12$131.41$34,657.58$45,434.98$1,227.97$44,207.01$1,359.38
13Mar 6, 2025$1,029.95$34,657.58$128.09$33,755.72$44,207.01$1,227.97$42,979.04$1,356.06
14Apr 6, 2025$1,029.95$33,755.72$124.76$32,850.53$42,979.04$1,227.97$41,751.07$1,352.73
15May 6, 2025$1,029.95$32,850.53$121.41$31,941.99$41,751.07$1,227.97$40,523.10$1,349.38
16Jun 6, 2025$1,029.95$31,941.99$118.05$31,030.09$40,523.10$1,227.97$39,295.13$1,346.02
17Jul 6, 2025$1,029.95$31,030.09$114.68$30,114.82$39,295.13$1,227.97$38,067.16$1,342.65
18Aug 6, 2025$1,029.95$30,114.82$111.30$29,196.17$38,067.16$1,227.97$36,839.19$1,339.27
19Sep 6, 2025$1,029.95$29,196.17$107.90$28,274.12$36,839.19$1,227.97$35,611.22$1,335.87
20Oct 6, 2025$1,029.95$28,274.12$104.50$27,348.67$35,611.22$1,227.97$34,383.25$1,332.47
21Nov 6, 2025$1,029.95$27,348.67$101.08$26,419.80$34,383.25$1,227.97$33,155.28$1,329.05
22Dec 6, 2025$1,029.95$26,419.80$97.64$25,487.49$33,155.28$1,227.97$31,927.31$1,325.61
23Jan 6, 2026$1,029.95$25,487.49$94.20$24,551.74$31,927.31$1,227.97$30,699.34$1,322.17
24Feb 6, 2026$1,029.95$24,551.74$90.74$23,612.53$30,699.34$1,227.97$29,471.37$1,318.71
25Mar 6, 2026$1,029.95$23,612.53$87.27$22,669.85$29,471.37$1,227.97$28,243.40$1,315.24
26Apr 6, 2026$1,029.95$22,669.85$83.78$21,723.68$28,243.40$1,227.97$27,015.43$1,311.75
27May 6, 2026$1,029.95$21,723.68$80.29$20,774.02$27,015.43$1,227.97$25,787.46$1,308.26
28Jun 6, 2026$1,029.95$20,774.02$76.78$19,820.85$25,787.46$1,227.97$24,559.49$1,304.75
29Jul 6, 2026$1,029.95$19,820.85$73.25$18,864.15$24,559.49$1,227.97$23,331.52$1,301.22
30Aug 6, 2026$1,029.95$18,864.15$69.72$17,903.92$23,331.52$1,227.97$22,103.55$1,297.69
31Sep 6, 2026$1,029.95$17,903.92$66.17$16,940.14$22,103.55$1,227.98$20,875.57$1,294.15
32Oct 6, 2026$1,029.95$16,940.14$62.61$15,972.80$20,875.57$1,227.97$19,647.60$1,290.58
33Nov 6, 2026$1,029.95$15,972.80$59.03$15,001.88$19,647.60$1,227.98$18,419.62$1,287.01
34Dec 6, 2026$1,029.95$15,001.88$55.44$14,027.37$18,419.62$1,227.97$17,191.65$1,283.41
35Jan 6, 2027$1,029.95$14,027.37$51.84$13,049.26$17,191.65$1,227.98$15,963.67$1,279.82
36Feb 6, 2027$1,029.95$13,049.26$48.23$12,067.54$15,963.67$1,227.97$14,735.70$1,276.20
37Mar 6, 2027$1,029.95$12,067.54$44.60$11,082.19$14,735.70$1,227.98$13,507.72$1,272.58
38Apr 6, 2027$1,029.95$11,082.19$40.96$10,093.20$13,507.72$1,227.97$12,279.75$1,268.93
39May 6, 2027$1,029.95$10,093.20$37.30$9,100.55$12,279.75$1,227.98$11,051.77$1,265.28
40Jun 6, 2027$1,029.95$9,100.55$33.63$8,104.23$11,051.77$1,227.97$9,823.80$1,261.60
41Jul 6, 2027$1,029.95$8,104.23$29.95$7,104.23$9,823.80$1,227.98$8,595.82$1,257.93
42Aug 6, 2027$1,029.95$7,104.23$26.26$6,100.54$8,595.82$1,227.97$7,367.85$1,254.23
43Sep 6, 2027$1,029.95$6,100.54$22.55$5,093.14$7,367.85$1,227.98$6,139.87$1,250.53
44Oct 6, 2027$1,029.95$5,093.14$18.82$4,082.01$6,139.87$1,227.97$4,911.90$1,246.79
45Nov 6, 2027$1,029.95$4,082.01$15.09$3,067.15$4,911.90$1,227.98$3,683.92$1,243.07
46Dec 6, 2027$1,029.95$3,067.15$11.34$2,048.54$3,683.92$1,227.97$2,455.95$1,239.31
47Jan 6, 2028$1,029.95$2,048.54$7.57$1,026.16$2,455.95$1,227.98$1,227.97$1,235.55
48Feb 6, 2028$1,029.95$1,026.16$3.79$0.00$1,227.97$1,227.97$0.00$1,231.76
Totals$63,206.59$4,263.94$58,942.65$0.00$63,206.59

Recurring journal entry — period 1

Representative entry; one entry per period follows the schedule. Use “Export journal entries” for the full set.

AccountMemoDebitCredit
Interest ExpenseInterest accretion$217.84
Finance Lease LiabilityInterest accretion$217.84
Finance Lease LiabilityLease payment$14,798.94
Cash / Accounts PayableLease payment$14,798.94
Amortization of ROU AssetROU amortization$1,227.97
Accumulated Amortization - Finance ROUROU amortization$1,227.97
In balance$16,244.75$16,244.75