Accountancy
McCoy Corporation is the lessee in a new lease agreement that begins on January 1, 2021. McCoy Corporation will make quarterly payments of $10,000, beginning on January 1, 2021, and continuing for 5 years. The last payment is due on October 1, 2025. The lease has an implicit annual interest rate of 7%. The present value of an annuity due at 7% per period for 5 periods is 4.387; the present value of an annuity due at 1.75% per period for 20 periods is 17.046. What amount will McCoy Corporation report as a lease payable (not including accrued interest) in its financial statements dated December 31, 2021?
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