Operating lease, Financial Accounting

Assignment Help:

For a capital lease the lessee records the lease payments as rent expense, but for an operating lease the lessee reports the lease payments as depreciation expense
For an operating lease the lessee depreciates the asset acquired under lease, but for the capital lease the lessee does not
Operating leases create a long-term liability on the balance sheet, but capital leases do not
Operating leases do not transfer ownership of the asset under the lease, but capital leases often do
Operating lease payments are generally greater than capital lease payments


Related Discussions:- Operating lease

Introduction to pension funds, Introduction to Pension funds Pension fu...

Introduction to Pension funds Pension funds are normally set up to provide pension benefits to employees who have retired. The pension funds receive contributions mainly from e

Incremental cash flows, You are an analyst in the corporate finance departm...

You are an analyst in the corporate finance department of Pet Products, Inc. You have been asked to analyze a potential new product to be introduced. The beef-flavored water will b

Wilson wonders''s bonds, Wilson Wonders's bonds have 15 years remaining to ...

Wilson Wonders's bonds have 15 years remaining to maturity. Interest is paid yearly, the bonds have a $1,000 par value, and the coupon interest rate is 12%. The bonds sell at a pri

Company accounts introduction, practical problems of chapter one of company...

practical problems of chapter one of company accounts

Financial strategy IRR, what managers should know about internal rate of re...

what managers should know about internal rate of return (IRR) and why?

Prepare a cash budget, Prepare a cash budget The following information...

Prepare a cash budget The following information appeared on the balance sheet of XYZ Ltd at 30 June 2012:                              Accounts receivable

Draw x-bar process control chart and calculate probability , Kevin Murtuag...

Kevin Murtuagh, manager of an national reservation service for a nationwide chain of luxury hotels, is concerned about productivity of his operation.  Analysis of recent historical

Prepare the journal entries, Prepare the journal entries required to record...

Prepare the journal entries required to record the following transactions of a nongovernment, not-for-profit organization.   1. Unrestricted cash contributions received durin

Rate of return on a stock, Suppose that the risk-free rate is 7% and that t...

Suppose that the risk-free rate is 7% and that the market risk premium is 7%. What is the needed rate of return on a stock with a beta of 1.2? What is the needed rate of retu

Trustees duties in administering the d of a, Trustee's duties in administer...

Trustee's duties in administering the D of A 1) To carry out the trusts of the D of A and to distribute the property assigned to him in accordance with the provisions of the D of

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd