User Account

All Pages

Sales type versus direct financing leases

Assignment Help Accounting Basics
Reference no: EM131027731

Sales Type versus Direct Financing Leases

Part 1: Capital leases and operating leases are the two classifications of leases described in FASB pronouncements from the standpoint of the lessee.

Required:

a. Describe how a capital lease would be accounted for by the lessee both at the inception of the lease and during the first year of the lease, assuming the lease transfers ownership of the property to the lessee by the end of the lease.

b. Describe how an operating lease would be accounted for by the lessee both at the inception of the lease and during the first year of the lease, assuming the lessee makes equal monthly payments at the beginning of each month of the lease. Describe the change in accounting, if any, when rental payments are not made on a straight-line basis. Do not discuss the criteria for distinguishing between capital leases and operating leases.

Reference no: EM131027731

Questions Cloud

Criteria used for determining : What are the four criteria used for determining if a lease is to be treated as a capital lease? Do you agree that the criteria are sufficient or should there be more (or less?)
A four-year financial project has net cash flows : A four-year financial project has net cash flows of $50,000, $40,000, $30,000, and $20,000 in the next four years. It will cost $75,000 to implement the project. If the required rate of return is 20%, conduct a discounted cash flow calculation to det..
Considering three investment alternative for some spare cash : You are considering three investment alternatives for some spare cash: Old Reliable Corporation stock (A1), Fly-By-Nite Air Cargo Company stock (A2), and a federally insured savings certificate (A3). You expect the economy will either "boom" (N1) or ..
Show that this set of matrices is a ring without identity : I need to understand how to show that this set of matrices is a ring without identity element.
Sales type versus direct financing leases : Capital leases and operating leases are the two classifications of leases described in FASB pronouncements from the standpoint of the lessee.
All four of the essential elements of negligence case : There are four elements that must be proven for a wrongful act to be considered a tort of negligence. These elements are duty, breach of duty, causation, and damages". Our readings state..."The plaintiff must be able to introduce some evidence on all..
Elements of internal control : The business's organizational structure influences which of the following elements of internal control?
Active social media campaign using three or more platforms : Chose a company or organization that has an active social media campaign using three or more platforms, describe the company and their social media campaign as well as identifying their other PR activities and then critique them, what are they doing ..
Compare concepts of probable cause and reasonable suspicion : Compare and contrast the concepts of probable cause and reasonable suspicion. In your own words, determine the relationship between the two (2) concepts as they relate to search and seizure.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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