subject
Business, 27.11.2019 07:31 seahorse0

On january 1, 2017, seven wonders inc. signed a five-year noncancelable lease with moss company. the lease calls for five payments of $277,409.44 to be made at the end of each year. the leased asset has a fair value of $1,200,000 on january 1, 2017. seven wonders cannot renew the lease, there is no bargain purchase option, and ownership of the leased asset reverts to moss at the lease end. the leased asset has an expected useful life of six years, and seven wonders uses straight-line depreciation for financial reporting purposes. its incremental borrowing rate is 12%. moss’s implicit rate of return on the lease is unknown. seven wonders uses a calendar year for financial reporting purposes. both companies use asc 840 to account for leases.

ansver
Answers: 1

Other questions on the subject: Business

image
Business, 22.06.2019 16:30, nculberson6
Who got instagram! ? if you do give it to me
Answers: 1
image
Business, 22.06.2019 17:50, adamflex
Variable rate cd’s = $90 treasury bills = $150 discount loans = $20 treasury notes = $100 fixed rate cds = $160 money market deposit accts. = $140 savings deposits = $90 fed funds borrowing = $40 variable rate mortgage loans $140 demand deposits = $40 primary reserves = $50 fixed rate loans = $210 fed funds lending = $50 equity capital = $120 a. develop a balance sheet from the above data. be sure to divide your balance sheet into rate-sensitive assets and liabilities as we did in class and in the examples. b. perform a standard gap analysis and a duration analysis using the above data if you have a 1.15% decrease in interest rates and an average duration of assets of 5.4 years and an average duration of liabilities of 3.8 years. c. indicate if this bank will remain solvent after the valuation changes. if so, indicate the new level of equity capital after the valuation changes. if not, indicate the amount of the shortage in equity capital.
Answers: 3
image
Business, 23.06.2019 00:10, Frenchfries13
Warren company plans to depreciate a new building using the double declining-balance depreciation method. the building cost $870,000. the estimated residual value of the building is $57,000 and it has an expected useful life of 20 years. assuming the first year's depreciation expense was recorded properly, what would be the amount of depreciation expense for the second year?
Answers: 2
image
Business, 23.06.2019 00:30, kingcory717
Environmentalists are concerned about emissions of sulfur dioxide into the air. the average number of days per year in which sulfur dioxide levels exceed 150 milligrams per cubic meter in milan, italy, is 29. the number of days per year in which emission limits are exceeded is normally distributed with a standard deviation of 4.0 days. what percentage of the years would exceed 37 days?
Answers: 2
You know the right answer?
On january 1, 2017, seven wonders inc. signed a five-year noncancelable lease with moss company. the...

Questions in other subjects: