Henson Manufacturing Company Signed a 3-Year Contract for the Use

Henson Manufacturing Company signed a 3-year contract for the use of certain manufacturing equipment with an estimated life of three years.Henson Manufacturing Company cannot cancel the contract.What entry is made to record the contract?

A) Rent Expense XX
Cash XX
B) Manufacturing Equipment XX
Cash XX
C) Leased Asset--Manufacturing Equipment XX
Lease Liability XX
D) Lease Liability XX
Leased Asset--Manufacturing Equipment XX
E) Rent Expense XX
Leased Asset--Manufacturing Equipment XX

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