Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Metro Industries manufacture s equipment for sale or lease. Federated Corp (lessee) leased a tooling machine from Metro Industries (lessor) on 12/31/2010, for a three-year period ending December 31, 2013. On 12/31/2013, the equipment will revert back to the lessor. The equipment has a fair value or "selling price" of $128,872 and it costs the lessor $90,000. The lease agreement specified annual payments (note: you need to figure out the annual payment with the given info) to be paid with the first payment at the inception of the lease, and each December 31 through 2012. The machine's useful life is four years. The residual value at the end of 12/31/2013 is expected to be $35,000. The lessee does guarantee the residual value. The lessee has incremental borrowing rate of 14% and is aware of the lessor's implicit rate of return of 12%. Assume the fair value of the equipment at the end of lease term (12/31/2013) will be $10,000. Do the followings:
1) Show how the lessor determines the lease payment;
2) Prepare the appropriate entries for both the lessee and the lessor from the inception of the lease through the return of the equipment back to the lessor.
Analyze the accounting for corporation requirements related to stock valuation, dividends, and retained earnings and determine how to value investments and how to report them based on that valuation.
Calculate operating cash flow using the four different approaches described in the chapter and verify that the answer is the same in each case.
How would the selling price of the bonds be evaluated
Preparing a seminar on cost-volume-profit analysis for non accountants
Bauer Manufacturing uses departmental cost driver rates to allocate manufacturing overhead costs to products. Manufacturing overhead costs are allocated on the basis of machine-hours in the Machining Department and on the basis of direct labor-hou..
Calculating EAC. You are evaluating two different silicon wafer milling machines. The Techron 1 costs $240,000, has a three-year life, and has pretax operating costs of $63,000 per year.
Discuss the nonfinancial information that may be used to evaluate the performance of a college or university and suggest what information provides the most insight to financial performance.
a. Compute the profit margin on sales ratio, the return on equity and the return on assets, rounding calculations to two decimal places. b. Does the firm have positive or negative financial leverage The com¬pany reported the following information fo..
If all the current assets were liquidated today, the company wouldreceive $805,000 million cash. What is the book value of Klingon's assets today? What is the market value?
Submarine, Corp., earned net income of $110,000 for 2011. Submarine's books include the following figures: Preferred stock, 2%, $30 par, 1,000 shares issued and outstanding $30,000 Common stock, $1 par, $52,000 issued $52,000 Paid-in capital in e..
What is the amount of unrestricted Cash and Investments at 9/30/15 and what is the amount restricted Cash and Investments at 9/30/15?
Popper did not get any of this newly issued stock. How would this transaction affect the extra paid-in capital of parent company?
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd