Snow Inc. signs a 5-year lease on a new truck on 1/1/2019. The lease terms...
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Snow Inc. signs a 5-year lease on a new truck on 1/1/2019. The lease terms require a payment of $10,000 at the end of each year. Snow Inc. usually borrows money at a 5% interest rate. The lease contract contains a bargain purchase option that allows Snow Inc to purchase the truck at a significant discount at the end of year 5 if the company is interested. When the lease was classified as a finance lease, what amount of interest expense appears on Snow Inc's 2019 income statement? Round your final answer to the nearest dollar
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