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Commonwealth Income & Growth Fund V (CIGF5)

Document and Entity Information

Document and Entity Information3 Months Ended
Mar. 31, 2021shares
Cover [Abstract]
Entity Registrant NameCOMMONWEALTH INCOME & GROWTH FUND V
Document Type10-Q
Document Period End DateMar. 31,
2021
Amendment Flagfalse
Entity Central Index Key0001253347
Current Fiscal Year End Date--12-31
Entity Common Stock, Shares Outstanding0
Entity Filer CategoryNon-accelerated Filer
Entity Emerging Growth Companyfalse
Entity Small Businesstrue
Entity Current Reporting StatusYes
Entity Shell Companyfalse
Entity Interactive Data CurrentYes
Entity Incorporation State Country CodePA
Entity File Number333-108057
Document Fiscal Year Focus2021
Document Fiscal Period FocusQ1

Condensed Balance Sheets

Condensed Balance Sheets - USD ($)Mar. 31, 2021Dec. 31, 2020
Current Assets
Cash and cash equivalents $ 25,245 $ 33,920
Lease income receivable, net of reserve of approximately $10,000 at both March 31, 2021 and December 31, 202015,514 21,710
Accounts receivable, Commonwealth Capital Corp333 333
Prepaid expenses1,825 3,247
Total current assets42,917 59,210
Equipment, at cost3,694,288 3,871,354
Accumulated depreciation(3,547,388)(3,683,178)
Technology equipment, net146,900 188,176
Total assets189,817 247,386
LIABILITIES
Accounts payable129,786 131,056
Accounts payable, CIGF, Inc.96,172 84,411
Accounts payable, Commonwealth Capital Corp, net of accounts receivable of approximately $57,000 and $46,000 at March 31, 2021 and December 31, 2020, respectively93,368 98,872
Unearned lease income217 1,499
Notes payable18,141 26,522
Total liabilities337,684 342,360
Commitments and contingencies
PARTNERS' CAPITAL
General Partner1,000 1,000
Limited Partners(148,867)(95,974)
Total Partners' deficit(147,867)(94,974)
Total liabilities and Partners' deficit $ 189,817 $ 247,386

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - USD ($)Mar. 31, 2021Dec. 31, 2020
Statement of Financial Position [Abstract]
Reserve for doubtful lease income receivable $ 10,000 $ 10,000
Accounts receivable $ 57,000 $ 46,000

Condensed Statements of Operati

Condensed Statements of Operations - USD ($)3 Months Ended
Mar. 31, 2021Mar. 31, 2020
Revenue
Lease $ 60,841 $ 88,182
Interest and other34 155
Sales and property taxes2,662 15,730
Gain on sale of equipment0 12,388
Total revenue and gain on sale of equipment63,537 116,455
Expenses
Operating, excluding depreciation and amortization74,578 86,091
Interest313 1,074
Depreciation33,797 48,945
Sales and property taxes2,662 15,730
Bad debt recovery0 (33,834)
Loss on sale of equipment5,080 0
Total expenses116,430 118,006
Net loss(52,893)(1,551)
Net loss allocated to Limited Partners $ (52,893) $ (1,551)
Net loss per equivalent Limited Partnership unit $ (0.04) $ 0
Weighted average number of equivalent Limited Partnership units outstanding during the period1,235,066 1,236,123

Condensed Statement of Partners

Condensed Statement of Partners' Capital - USD ($)General PartnersLimited PartnersTotal
Partners' capital account, units at Dec. 31, 201950 1,236,148
Partners' capital at Dec. 31, 2019 $ 1,000 $ 47,964 $ 48,964
Net loss $ (1,551)(1,551)
Redemptions, units(567)
Partners' capital account, units at Mar. 31, 202050 1,235,581
Partners' capital at Mar. 31, 2020 $ 1,000 $ 46,413 47,413
Partners' capital account, units at Dec. 31, 202050 1,235,581
Partners' capital at Dec. 31, 2020 $ 1,000 $ (95,974)(94,974)
Net loss $ (52,893)(52,893)
Redemptions, units(833)
Partners' capital account, units at Mar. 31, 202150 1,234,748
Partners' capital at Mar. 31, 2021 $ 1,000 $ (148,867) $ (147,867)

Condensed Statements of Cash Fl

Condensed Statements of Cash Flow - USD ($)3 Months Ended
Mar. 31, 2021Mar. 31, 2020
Statement of Cash Flows [Abstract]
Net cash used in operating activities $ (11,075) $ (47,895)
Cash flows from investing activities:
Net proceeds from the sale of equipment2,400 54,696
Net cash provided by investing activities2,400 54,696
Net increase (decrease) in cash and cash equivalents(8,675)6,801
Cash and cash equivalents beginning of period33,920 5,211
Cash and cash equivalents end of period $ 25,245 $ 12,012

Business

Business3 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
BusinessCommonwealth Income & Growth Fund V (the “Partnership”)
is a limited partnership organized in the Commonwealth of Pennsylvania in May 2003. The Partnership offered for sale up to 1,250,000
units of the limited partnership at the purchase price of $20 per unit (the “offering”). The Partnership reached the
minimum amount in escrow and commenced operations on March 14, 2005. As of February 24, 2006, the Partnership was fully subscribed. The Partnership used the proceeds of the offering to acquire, own
and lease various types of information technology, medical technology, telecommunications technology, inventory management equipment
and other similar capital equipment, which is leased primarily to U.S. corporations and institutions. Commonwealth Capital Corp. (“CCC”), on behalf of the
Partnership and other affiliated partnerships, acquires equipment subject to associated debt obligations and lease agreements and
allocates a participation in the cost, debt and lease revenue to the various partnerships that it manages based on certain risk
factors. The Partnership’s investment objective is to acquire primarily
high technology equipment. Information technology has developed rapidly in recent years and is expected to continue to do so. Technological
advances have permitted reductions in the cost of information technology processing capacity, speed, and utility. In the future,
the rate and nature of equipment development may cause equipment to become obsolete more rapidly. The Partnership also acquires
high technology medical, telecommunications and inventory management equipment. The Partnership’s general partner will seek
to maintain an appropriate balance and diversity in the types of equipment acquired. The market for high technology medical equipment
is growing each year. Generally, this type of equipment will have a longer useful life than other types of technology equipment.
This allows for increased re-marketability, if it is returned before its economic or announcement cycle is depleted. The Partnership’s General Partner is Commonwealth Income &
Growth Fund, Inc. (the “General Partner”), a Pennsylvania corporation which is an indirect wholly owned subsidiary
of CCC. Approximately ten years after the commencement of operations (the “operational phase”), the Partnership intended
to sell or otherwise dispose of all of its equipment; make final distributions to partners, and to dissolve. The Partnership was
originally scheduled to end its operational phase on February 4, 2017. During the year ended December 31, 2015, the operational
phase was officially extended to December 31, 2020 through an investor proxy vote. The Partnership is expected to terminate on
December 31, 2022. Liquidity and Going Concern For the three months ended March 31, 2021, the Partnership incurred
positive cash flow. However, historically the Partnership has reported recurring negative cash flows. At March 31, 2021, the Partnership
has a working capital deficit of approximately $295,000. Such factors raise substantial doubt about the Partnership’s ability
to continue as a going concern. The General Partner agreed to forgo distributions and allocations
of net income owed to it, and suspended limited partner distributions. The General Partner will continue to waive certain fees
and may defer certain related party payables owed to the Partnership in an effort to further increase the Partnership’s cash
flow. Additionally, the Partnership will seek to enhance portfolio returns and maximize cash flow through the use of leveraged
lease transactions: the acquisition of lease equipment through financing. The Partnership may also attempt to obtain additional
funds by disposing of or refinancing equipment, or by borrowing within its permissible limits. However, at this time, it is uncertain
as to whether the General Partner’s plans will be successful.

Summary of Significant Accounti

Summary of Significant Accounting Policies3 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
Summary of Significant Accounting PoliciesBasis of Presentation The financial information presented as of any date other than December
31, 2020 has been prepared from the books and records without audit. The following unaudited condensed financial statements have
been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Financial information as of December
31, 2020 has been derived from the audited financial statements of the Partnership, but does not include all disclosures required
by generally accepted accounting principles to be included in audited financial statements. In the opinion of management, all adjustments,
consisting only of normal recurring adjustments, necessary for a fair presentation of the financial information for the periods
indicated, have been included. Operating results for the three months ended March 30, 2021 are not necessarily indicative of financial
results that may be expected for the full year ended December 31, 2021. Disclosure of Fair Value of Financial Instruments Estimated fair value was determined by management using available
market information and appropriate valuation methodologies. However, judgment was necessary to interpret market data and develop
estimated fair value. Cash and cash equivalents, receivables, accounts payable and accrued expenses and other liabilities are carried
at amounts which reasonably approximate their fair values as of March 31, 2021 and December 31, 2020 due to the short-term nature
of these financial instruments. The Partnership’s long-term debt consists of notes payable,
which are secured by specific equipment and are nonrecourse liabilities of the Partnership. The estimated fair value of this debt
at March 31, 2021 and December 31, 2020 approximates the carrying value of these instruments, due to the interest rates on the
debt approximating current market interest rates. The Partnership classifies the fair value of its notes payable within Level 2
of the valuation hierarchy based on the observable inputs used to estimate fair value. Cash and cash equivalents We consider cash equivalents to be highly liquid investments with
the original maturity dates of 90 days or less. At March 31, 2021, cash and cash equivalents was held in one account
maintained at one financial institution with an aggregate balance of approximately $26,000. Bank accounts are federally insured
up to $250,000 by the FDIC. At March 31, 2021, the total cash bank balance was as follows:
At March 31, 2021 Balance
Total bank balance $ 26,000
FDIC insured (26,000 )
Uninsured amount $ - The Partnership’s bank balances are fully insured by the FDIC.
The Partnership deposits its funds with a Moody's Aaa-Rated banking institution which is one of only three Aaa-Rated banks listed
on the New York Stock Exchange. The Partnership has not experienced any losses in such accounts, and believes it is not exposed
to any significant credit risk. The amount in such accounts will fluctuate throughout 2021 due to many factors, including cash
receipts, equipment acquisitions and interest rates. Recent Accounting Pronouncements Not Yet Adopted In June 2016, the FASB issued Accounting Standards Update (“ASU”)
2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”).
This standard establishes an impairment model (known as the current expected credit loss (“CECL”) model) that is based
on expected losses rather than incurred losses. Under the new guidance, an entity recognizes as an allowance its estimate of expected
credit losses, which is intended to result in a timelier recognition of losses. Under the CECL model, entities will estimate credit
losses over the entire contractual term of the instrument (considering estimated prepayments, but not expected extensions or modifications)
from the date of initial recognition of the financial instrument. Measurement of expected credit losses are to be based on relevant
forecasts that affect collectability. The scope of financial assets within the CECL methodology is broad and includes trade receivables
from certain revenue transactions and certain off-balance sheet credit exposures. Different components of the guidance require
modified retrospective or prospective adoption. In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements
to Topic 326, Financial Instruments-Credit Losses. ASU 2018-19 clarifies that receivables arising from operating leases are not
within the scope of the credit losses standard. Instead, entities would need to apply other U.S. GAAP, namely Topic 842 (Leases),
to account for changes in the collectability assessment for operating leases. Other than operating lease receivables, Partnership
trade receivables include receivables from finance leases and equipment sales. Under Topic 606 (Revenue from Contracts with Customers),
revenue is recognized when, among other criteria, it is probable that the entity will collect the consideration to which it is
entitled for goods or services transferred to a customer. At the point that finance lease receivables are recorded, they become
subject to the CECL model and estimates of expected credit losses over their contractual life will be required to be recorded at
inception based on historical information, current conditions, and reasonable and supportable forecasts. Trade receivables derived
from equipment sales are of short duration and there is not a material difference between incurred losses and expected losses. In April 2019, the FASB issued ASU 2019-04, Codification Improvements
to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, which
amends and clarifies several provisions of Topic 326. In May 2019, the FASB issued ASU 2019-05, Financial Instruments-Credit Losses
(Topic 326): Targeted Transition Relief, which amends Topic 326 to allow the fair value option to be elected for certain financial
instruments upon adoption. ASU 2019-10 extended the effective date of ASU 2016-13 for the Partnership until December 15, 2022.
While we continue to evaluate the new guidance, including the subsequent updates to Topic 326, we do not anticipate that adoption
will have a material impact on the Partnership financial statements and related disclosures. For both the quarters ended March
31, 2021 and 2020, Partnership finance lease revenue subject to CECL represented less than 1% of total lease revenue.

Information Technology, Medical

Information Technology, Medical Technology, Telecommunications Technology, Inventory Management Equipment (''Equipment'')3 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
Information and other Technology, Inventory Management Equipment and other Capital EquipmentThe Partnership is the lessor of equipment under operating leases
with periods that generally will range from 12 to 48 months. In general, associated costs such as repairs and maintenance, insurance
and property taxes are paid by the lessee. Gains and losses from the sale of equipment are recognized when the
lease is modified and terminated concurrently. Gain from the sale of equipment included in lease revenue for the three months ended
March 31, 2021, was approximately $0. CCC, on behalf of the Partnership and on behalf of other affiliated
companies and partnerships (“partnerships”), acquires equipment subject to associated debt obligations and lease agreements
and allocates a participation in the cost, debt and lease revenue to the various companies based on certain risk factors. The Partnership’s share of the cost of the equipment in which
it participates with other partnerships at March 31, 2021 was approximately $1,924,000 and is included in the Partnership’s
equipment on its balance sheet. The total cost of the equipment shared by the Partnership with other partnerships at March 31,
2021 was approximately $8,295,000. The Partnership’s share of the outstanding debt associated with this equipment at March
31, 2021 was approximately $0 and is included in the Partnership’s notes payable on its balance sheet. The total outstanding
debt related to the equipment shared by the Partnership at March 31, 2021 was approximately $0. The Partnership’s share of the cost of the equipment in which
it participates with other partnerships at December 31, 2020 was approximately $2,069,000 and is included in the Partnership’s
equipment on its balance sheet. The total cost of the equipment shared by the Partnership with other partnerships at December 31,
2020 was approximately $8,586,000. The Partnership’s share of the outstanding debt associated with this equipment at December
31, 2020 was approximately $5,000 and is included in the Partnership’s notes payable on its balance sheet. The total outstanding
debt related to the equipment shared by the Partnership at December 31, 2020 was approximately $152,000. As the Partnership and the other programs managed by the General
Partner continue to acquire new equipment for the portfolio, opportunities for shared participation are expected to continue. Sharing
in the acquisition of a lease portfolio gives the fund an opportunity to acquire additional assets and revenue streams, while allowing
the fund to remain diversified and reducing its overall risk with respect to one portfolio. The following is a schedule of approximate future minimum rentals
on operating leases at March 31, 2021:
For the period ended December Amount
Nine months ended December 31, 2021 $ 78,500
Year Ended December 31, 2022 25,000
Year Ended December 31, 2023 23,500
Year Ended December 31, 2024 21,000
Year Ended December 31, 2025 9,000
$ 157,000

Related Party Transactions

Related Party Transactions3 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
Related Party TransactionsReceivables/Payables As of March 31, 2021, and December 31, 2020, the Company’s
related party receivables and payables are short term, unsecured and non-interest bearing.
Three months ended March 31, 2021 2020
Reimbursable Expenses
The General Partner and its affiliates are entitled to reimbursement by the Partnership for the cost of goods, supplies or services obtained and used by the General Partner in connection with the administration and operation of the Partnership from third parties unaffiliated with the General Partner. In addition, the General Partner and its affiliates are entitled to reimbursement of certain expenses incurred by the General Partner and its affiliates in connection with the administration and operation of the Partnership. For the three months ended March 31, 2021 and 2020, the General Partner waived certain reimbursable expenses due to it by the Partnership. For the three months ended March 31, 2021 and 2020, the Partnership was charged approximately $21,000 and $27,000 in Other LP expense, respectively. $ 68,000 $ 73,000
Equipment Acquisition Fee
The General Partner earned an equipment acquisition fee of 4% of the purchase price of each item of equipment purchased as compensation for the negotiation of the acquisition of the equipment and lease thereof or sale under a conditional sales contract. For the three months ended March 31, 2021 and 2020, approximately $0 and $0 of acquisition fees were waived by the General Partner, respectively. $ - $ -
Equipment Management Fee
The General Partner is entitled to be paid for managing the equipment portfolio a monthly fee equal to the lesser of (i) the fees which would be charged by an independent third party for similar services for similar equipment or (ii) the sum of (a) two percent of (1) the gross lease revenues attributable to equipment which is subject to full payout net leases which contain net lease provisions plus (2) the purchase price paid on conditional sales contracts as received by the Partnership and (b) 5% of the gross lease revenues attributable to equipment which is subject to operating leases. In an effort to increase future cash flow for the fund our General Partner has elected to waive equipment management fees. For the three months ended March 31, 2021 and 2020, equipment management fees of approximately $3,000 and $4,000 were earned but waived by the General Partner, respectively. $ - $ -
Equipment liquidation Fee
With respect to each item of equipment sold by the General Partner (other than in connection with a conditional sales contract), a fee equal to the lesser of (i) 50% of the competitive equipment sale commission or (ii) three percent of the sales price for such equipment is payable to the General Partner. The payment of such fee is subordinated to the receipt by the limited partners of (i) a return of their net capital contributions and a 10% per annum cumulative return, compounded daily, on adjusted capital contributions and (ii) the net disposition proceeds from such sale in accordance with the Partnership Agreement. Such fee will be reduced to the extent any liquidation or resale fees are paid to unaffiliated parties. During the three months ended March 31, 2021 and 2020, the General Partner waived approximately $39 and $5,000 of equipment liquidation fees, respectively. $ - $ -

Notes Payable

Notes Payable3 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
Notes PayableNotes payable consisted of the following approximate amounts:
March 31, December 31,
2021 2020
Installment note payable to bank; interest at 5.31% due in quarterly installments of $4,618, including interest, with final payment in January 2021 - 5,000
Installment note payable to bank; interest at 4.70% due in monthly installments of $1,360, including interest, with final payment in February 2021 - 3,000
Installment note payable to bank; interest at 5.00% due in monthly installments of $452, including interest, with final payment in November 2024 18,000 19,000
$ 18,000 $ 27,000 These notes are secured by specific equipment with a carrying value
of approximately $26,000 and are nonrecourse liabilities of the Partnership. As such, the notes do not contain any financial debt
covenants with which we must comply on either an annual or quarterly basis. Aggregate approximate maturities of notes payable for
each of the periods subsequent to March 31, 2021 are as follows:
Amount
Nine months ended December 31, 2021 $ 3,000
Year ended December 31, 2022 5,000
Year ended December 31, 2023 5,000
Year ended December 31, 2024 5,000
$ 18,000

Supplemental Cash Flow Informat

Supplemental Cash Flow Information3 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
Supplemental Cash Flow InformationNo interest or principal on notes payable was paid by the Partnership
during 2021 and 2020 because direct payment was made by lessee to the bank in lieu of collection of lease income and payment of
interest and principal by the Partnership. Other noncash activities included in the determination of net income
(loss) are as follows:
Three months ended March 31, 2021 2020
Lease revenue net of interest expense on notes payable realized as a result of direct payment of principal by lessee to bank $ 8,000 $ 33,000

Commitments and Contingencies

Commitments and Contingencies3 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
Commitments and ContingenciesCOVID-19 Pandemic The amount of revenue recognized and the pattern of revenue recognition
may be impacted by COVID-19. Some of the business sectors that we service such as education centers, medical facilities, payroll
administrators, manufacturing and transportation, we may need to account for returns and refund liabilities. The pattern of revenue
recognition may change for delays in rendering services. In periods ended subsequent to the outbreak of COVID-19, the
impact on expected credit losses and future cash flow projections used in impairment testing will need to be considered. The Company continues to evaluate whether adjustments to the financial
statements are required or whether additional disclosures are necessary. In our leasing business, the Company is always subject
to credit losses as it relates to a customer’s ability to make timely rental payments. The impact of COVID-19 may contribute
to risk of non-performance, where a customer may experience financial difficulty and may delay in making timely payments. The Company recognizes impairment of receivables and loans when losses
are incurred, which is when it is probable that an entity will be unable to collect all amounts due according to the contractual
terms of the arrangement. Impairment is measured based on the present value of expected future cash flows discounted at the receivable’s
or loans effective interest rate, except that, as a practical expedient, impairment can be measured based on a receivable’s
or loans’ observable market price or the fair value of the underlying collateral. The Company believes its estimate of expected losses have been recognized
based on historical experience, current conditions, and reasonable forecasts. The impacts of COVID-19 may necessitate additional
adjustments in future forecasts of expected losses. Although the Partnership cannot estimate the length or gravity of
the impact of the COVID-19 outbreak at this time, if the pandemic continues, it may have a material adverse effect on the Partnership
results of future operations, financial position, and liquidity in fiscal year 2021 and beyond. FINRA On May 3, 2013, the FINRA Department of Enforcement filed a complaint
naming Commonwealth Capital Securities Corp. (“CCSC”) and the owner of the firm, Kimberly Springsteen-Abbott, as respondents;
however, on October 22, 2013, FINRA filed an amended complaint that dropped the allegations against CCSC and reduced the scope
of the allegations against Ms. Springsteen-Abbott. The sole remaining charge was that Ms. Springsteen-Abbott had approved
the misallocation of some expenses to certain Funds. Management believes that the expenses at issue include amounts that
were proper and that were properly allocated to Funds, and also identified a smaller number of expenses that had been allocated
in error, but were adjusted and repaid to the affected Funds when they were identified in 2012. During the period in question,
Commonwealth Capital Corp. (“CCC”) and Ms. Springsteen-Abbott provided important financial support to the Funds, voluntarily
absorbed expenses and voluntarily waived fees in amounts aggregating in excess of any questioned allocations. A Hearing Panel
ruled on March 30, 2015, that Ms. Springsteen-Abbott should be barred from the securities industry because the Panel concluded
that she allegedly misallocated approximately $208,000 of expenses involving certain Funds over the course of three years.
As such, management had already at that time reallocated back approximately $151,225 of the $208,000 (in allegedly misallocated
expenses) to the affected funds, which was fully documented, as good faith payments for the benefit of those Income Funds. The decision of the Hearing Panel was stayed when it was appealed
to FINRA's National Adjudicatory Council (the “NAC”) pursuant to FINRA Rule 9311. The NAC issued a decision that
upheld the lower panel’s ruling and the bar took effect on August 23, 2016. Ms. Springsteen-Abbott appealed the NAC’s
decision to the U.S. Securities and Exchange Commission (the “SEC”). On March 31, 2017, the SEC criticized that
decision as so flawed that the SEC could not even review it, and remanded the matter back to FINRA for further consideration consistent
with the SEC’s remand, but did not suggest any view as to a particular outcome. On July 21, 2017, FINRA reduced the list of
1,840 items totaling $208,000 to a remaining list of 87 items totaling $36,226 (which includes approximately $30,000 of continuing
education expenses for personnel providing services to the Funds), and reduced the proposed fine from $100,000 to $50,000, but
reaffirmed its position on the bar from the securities industry. Respondents promptly appealed FINRA’s revised ruling
to the SEC. All the requested or allowed briefs have been filed with the SEC. Despite offering no additional evidence
or legal reasoning from when SEC originally remanded this matter (for FINRA’s opinion being an unreviewably flawed opinion),
the SEC upheld FINRA’s new order on February 7, 2020 to bar, but eliminated FINRA’s proposed fine. Ms. Springsteen-Abbott
has filed a Petition for Review in the United States Court of Appeals for the District of Columbia Circuit to review a final order
entered against her by the U.S. Securities and Exchange Commission. On February 26, 2021, the United States Court of Appeals
for the District of Columbia Circuit, made their ruling. They dismissed in part and denied in part Ms. Springsteen-Abbott’s
petition. This was regardless of CCC’s good faith reimbursements made many years ago of the questioned expense items of $208,000
(due to improper documentation), initially claimed misallocations by FINRA, even prior to FINRA’s reducing its final claim
to $36,226. Prior to the original appeal to the SEC, Ms. Springsteen-Abbott discovered
CCC’s required documentation of these items for FINRA review, which FINRA refused to consider, despite such efforts the District
Court upheld the bar, despite admittingly not addressing her “due process” rights, for legal administrative procedural
reasons. However, given the SEC’s prior removal of FINRA’s fine and the District Court upholding that removal,
the General Partner anticipates that this ruling will not result in any material financial impact to the Funds.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)3 Months Ended
Mar. 31, 2021
Policy Text Block [Abstract]
Basis of PresentationThe financial information presented as of any date other than December
31, 2020 has been prepared from the books and records without audit. The following unaudited condensed financial statements have
been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Financial information as of December
31, 2020 has been derived from the audited financial statements of the Partnership, but does not include all disclosures required
by generally accepted accounting principles to be included in audited financial statements. In the opinion of management, all adjustments,
consisting only of normal recurring adjustments, necessary for a fair presentation of the financial information for the periods
indicated, have been included. Operating results for the three months ended March 30, 2021 are not necessarily indicative of financial
results that may be expected for the full year ended December 31, 2021.
Disclosure of Fair Value of Financial InstrumentsEstimated fair value was determined by management using available
market information and appropriate valuation methodologies. However, judgment was necessary to interpret market data and develop
estimated fair value. Cash and cash equivalents, receivables, accounts payable and accrued expenses and other liabilities are carried
at amounts which reasonably approximate their fair values as of March 31, 2021 and December 31, 2020 due to the short-term nature
of these financial instruments. The Partnership’s long-term debt consists of notes payable,
which are secured by specific equipment and are nonrecourse liabilities of the Partnership. The estimated fair value of this debt
at March 31, 2021 and December 31, 2020 approximates the carrying value of these instruments, due to the interest rates on the
debt approximating current market interest rates. The Partnership classifies the fair value of its notes payable within Level 2
of the valuation hierarchy based on the observable inputs used to estimate fair value.
Cash and Cash EquivalentsWe consider cash equivalents to be highly liquid investments with
the original maturity dates of 90 days or less. At March 31, 2021, cash and cash equivalents was held in one account
maintained at one financial institution with an aggregate balance of approximately $26,000. Bank accounts are federally insured
up to $250,000 by the FDIC. At March 31, 2021, the total cash bank balance was as follows:
At March 31, 2021 Balance
Total bank balance $ 26,000
FDIC insured (26,000 )
Uninsured amount $ - The Partnership’s bank balances are fully insured by the FDIC.
The Partnership deposits its funds with a Moody's Aaa-Rated banking institution which is one of only three Aaa-Rated banks listed
on the New York Stock Exchange. The Partnership has not experienced any losses in such accounts, and believes it is not exposed
to any significant credit risk. The amount in such accounts will fluctuate throughout 2021 due to many factors, including cash
receipts, equipment acquisitions and interest rates.
Recent Accounting Pronouncements Not Yet AdoptedIn June 2016, the FASB issued Accounting Standards Update (“ASU”)
2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”).
This standard establishes an impairment model (known as the current expected credit loss (“CECL”) model) that is based
on expected losses rather than incurred losses. Under the new guidance, an entity recognizes as an allowance its estimate of expected
credit losses, which is intended to result in a timelier recognition of losses. Under the CECL model, entities will estimate credit
losses over the entire contractual term of the instrument (considering estimated prepayments, but not expected extensions or modifications)
from the date of initial recognition of the financial instrument. Measurement of expected credit losses are to be based on relevant
forecasts that affect collectability. The scope of financial assets within the CECL methodology is broad and includes trade receivables
from certain revenue transactions and certain off-balance sheet credit exposures. Different components of the guidance require
modified retrospective or prospective adoption. In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements
to Topic 326, Financial Instruments-Credit Losses. ASU 2018-19 clarifies that receivables arising from operating leases are not
within the scope of the credit losses standard. Instead, entities would need to apply other U.S. GAAP, namely Topic 842 (Leases),
to account for changes in the collectability assessment for operating leases. Other than operating lease receivables, Partnership
trade receivables include receivables from finance leases and equipment sales. Under Topic 606 (Revenue from Contracts with Customers),
revenue is recognized when, among other criteria, it is probable that the entity will collect the consideration to which it is
entitled for goods or services transferred to a customer. At the point that finance lease receivables are recorded, they become
subject to the CECL model and estimates of expected credit losses over their contractual life will be required to be recorded at
inception based on historical information, current conditions, and reasonable and supportable forecasts. Trade receivables derived
from equipment sales are of short duration and there is not a material difference between incurred losses and expected losses. In April 2019, the FASB issued ASU 2019-04, Codification Improvements
to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, which
amends and clarifies several provisions of Topic 326. In May 2019, the FASB issued ASU 2019-05, Financial Instruments-Credit Losses
(Topic 326): Targeted Transition Relief, which amends Topic 326 to allow the fair value option to be elected for certain financial
instruments upon adoption. ASU 2019-10 extended the effective date of ASU 2016-13 for the Partnership until December 15, 2022.
While we continue to evaluate the new guidance, including the subsequent updates to Topic 326, we do not anticipate that adoption
will have a material impact on the Partnership financial statements and related disclosures. For both the quarters ended March
31, 2021 and 2020, Partnership finance lease revenue subject to CECL represented less than 1% of total lease revenue.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)3 Months Ended
Mar. 31, 2021
Table Text Block Supplement [Abstract]
Schedule of cash and cash equivalentsAt March 31, 2021 Balance
Total bank balance $ 26,000
FDIC insured (26,000 )
Uninsured amount $ -

Information Technology, Medic_2

Information Technology, Medical Technology, Telecommunications Technology, Inventory Management Equipment (Tables)3 Months Ended
Mar. 31, 2021
Table Text Block Supplement [Abstract]
Future minimum rentals on operating leasesFor the period ended December Amount
Nine months ended December 31, 2021 $ 78,500
Year Ended December 31, 2022 25,000
Year Ended December 31, 2023 23,500
Year Ended December 31, 2024 21,000
Year Ended December 31, 2025 9,000
$ 157,000

Related Party Transactions (Tab

Related Party Transactions (Tables)3 Months Ended
Mar. 31, 2021
Table Text Block Supplement [Abstract]
Related party transactionsThree months ended March 31, 2021 2020
Reimbursable Expenses
The General Partner and its affiliates are entitled to reimbursement by the Partnership for the cost of goods, supplies or services obtained and used by the General Partner in connection with the administration and operation of the Partnership from third parties unaffiliated with the General Partner. In addition, the General Partner and its affiliates are entitled to reimbursement of certain expenses incurred by the General Partner and its affiliates in connection with the administration and operation of the Partnership. For the three months ended March 31, 2021 and 2020, the General Partner waived certain reimbursable expenses due to it by the Partnership. For the three months ended March 31, 2021 and 2020, the Partnership was charged approximately $21,000 and $27,000 in Other LP expense, respectively. $ 68,000 $ 73,000
Equipment Acquisition Fee
The General Partner earned an equipment acquisition fee of 4% of the purchase price of each item of equipment purchased as compensation for the negotiation of the acquisition of the equipment and lease thereof or sale under a conditional sales contract. For the three months ended March 31, 2021 and 2020, approximately $0 and $0 of acquisition fees were waived by the General Partner, respectively. $ - $ -
Equipment Management Fee
The General Partner is entitled to be paid for managing the equipment portfolio a monthly fee equal to the lesser of (i) the fees which would be charged by an independent third party for similar services for similar equipment or (ii) the sum of (a) two percent of (1) the gross lease revenues attributable to equipment which is subject to full payout net leases which contain net lease provisions plus (2) the purchase price paid on conditional sales contracts as received by the Partnership and (b) 5% of the gross lease revenues attributable to equipment which is subject to operating leases. In an effort to increase future cash flow for the fund our General Partner has elected to waive equipment management fees. For the three months ended March 31, 2021 and 2020, equipment management fees of approximately $3,000 and $4,000 were earned but waived by the General Partner, respectively. $ - $ -
Equipment liquidation Fee
With respect to each item of equipment sold by the General Partner (other than in connection with a conditional sales contract), a fee equal to the lesser of (i) 50% of the competitive equipment sale commission or (ii) three percent of the sales price for such equipment is payable to the General Partner. The payment of such fee is subordinated to the receipt by the limited partners of (i) a return of their net capital contributions and a 10% per annum cumulative return, compounded daily, on adjusted capital contributions and (ii) the net disposition proceeds from such sale in accordance with the Partnership Agreement. Such fee will be reduced to the extent any liquidation or resale fees are paid to unaffiliated parties. During the three months ended March 31, 2021 and 2020, the General Partner waived approximately $39 and $5,000 of equipment liquidation fees, respectively. $ - $ -

Notes Payable (Tables)

Notes Payable (Tables)3 Months Ended
Mar. 31, 2021
Table Text Block Supplement [Abstract]
Notes payableMarch 31, December 31,
2021 2020
Installment note payable to bank; interest at 5.31% due in quarterly installments of $4,618, including interest, with final payment in January 2021 - 5,000
Installment note payable to bank; interest at 4.70% due in monthly installments of $1,360, including interest, with final payment in February 2021 - 3,000
Installment note payable to bank; interest at 5.00% due in monthly installments of $452, including interest, with final payment in November 2024 18,000 19,000
$ 18,000 $ 27,000
Aggregate maturities of notes payableAmount
Nine months ended December 31, 2021 $ 3,000
Year ended December 31, 2022 5,000
Year ended December 31, 2023 5,000
Year ended December 31, 2024 5,000
$ 18,000

Supplemental Cash Flow Inform_2

Supplemental Cash Flow Information (Tables)3 Months Ended
Mar. 31, 2021
Table Text Block Supplement [Abstract]
Other noncash activitiesThree months ended March 31, 2021 2020
Lease revenue net of interest expense on notes payable realized as a result of direct payment of principal by lessee to bank $ 8,000 $ 33,000

Business (Details)

Business (Details)3 Months Ended
Mar. 31, 2021USD ($)
Organization, Consolidation and Presentation of Financial Statements [Abstract]
State of entity incorporationPA
Working capital deficit $ (295,000)

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details)Mar. 31, 2021USD ($)
Accounting Policies [Abstract]
Total bank balance $ 26,000
FDIC insured(26,000)
Uninsured amount $ 0

Information Technology, Medic_3

Information Technology, Medical Technology, Telecommunications Technology, Inventory Management Equipment (Details)Mar. 31, 2021USD ($)
Investment in direct financing leases, unearned income
Nine months ended December 31, 2021 $ 78,500
Year ended December 31, 202225,000
Year ended December 31, 202323,500
Year ended December 31, 202421,000
Year ended December 31, 20259,000
Total $ 157,000

Information Technology, Medic_4

Information Technology, Medical Technology, Telecommunications Technology, Inventory Management Equipment (Details Narrative) - USD ($)Mar. 31, 2021Dec. 31, 2020
Investment in direct financing leases, unearned income
Equipment shared $ 1,924,000 $ 2,069,000
Total shared equipment8,295,000 8,586,000
Debt shared0 5,000
Outstanding debt total $ 0 $ 152,000

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($)3 Months Ended
Mar. 31, 2021Mar. 31, 2020
Related Party Transactions [Abstract]
Reimbursable expenses $ 68,000 $ 73,000
Equipment acquisition fee0 0
Equipment management fee0 0
Equipment liquidation fee $ 0 $ 0

Notes Payable (Details)

Notes Payable (Details) - USD ($)3 Months Ended
Mar. 31, 2021Dec. 31, 2020
Notes payable $ 18,000 $ 27,000
Note 1
Notes payable descriptionInstallment note payable to bank; interest at 5.31% due in quarterly installments of $4,618, including interest, with final payment in January 2021
Notes payable $ 0 5,000
Note 2
Notes payable descriptionInstallment note payable to bank; interest at 4.70% due in monthly installments of $1,360, including interest, with final payment in February 2021
Notes payable $ 0 3,000
Note 3
Notes payable descriptionInstallment note payable to bank; interest at 5.00% due in monthly installments of $452, including interest, with final payment in November 2024
Notes payable $ 18,000 $ 19,000

Notes Payable (Details 1)

Notes Payable (Details 1)Mar. 31, 2021USD ($)
Notes Payable [Abstract]
Nine months ended December 31, 2021 $ 3,000
Year ended December 31, 20225,000
Year ended December 31, 20235,000
Year ended December 31, 20245,000
Long-term debt $ 18,000

Supplemental Cash Flow Inform_3

Supplemental Cash Flow Information (Details) - USD ($)3 Months Ended
Mar. 31, 2021Mar. 31, 2020
Supplemental Cash Flow Information [Abstract]
Lease revenue net of interest expense on notes payable realized as a result of direct payment of principal by lessee to bank $ 8,000 $ 33,000