subject
Business, 02.12.2019 20:31 mmaglaya1

Ildhorsecorporation enters into an agreement with yates rentals co. on january 1, 2018 for the purpose of leasing a machine to be used in its manufacturing operations. the following data pertain to the agreement: (a) the term of the noncancelable lease is 3 years with no renewal option. payments of $544864 are due on january 1 of each year. (b) the fair value of the machine on january 1, 2018, is $145. the machine has a remaining economic life of 10 years, with no salvage value. the machine reverts to the lessor upon the termination of the lease. (c) wildhorse depreciates all machinery it owns on a straight-line basis. (d) wildhorse’s incremental borrowing rate is 11% per year. wildhorse does not have knowledge of the 9% implicit rate used by yates. (e) immediately after signing the lease, yates finds out that wildhorse corp. is the defendant in a suit which is sufficiently material to make collectibility of future lease payments doubtful. if the present value of the future lease payments is $145 at january 1, 2018, what is the amount of the reduction in the lease liability for wildhorse corp. in the second full year of the lease if wildhorse corp. accounts for the lease as a finance lease? (rounded to the nearest dollar.)

ansver
Answers: 2

Other questions on the subject: Business

image
Business, 23.06.2019 00:30, genyjoannerubiera
Listed below are several transactions that took place during the first two years of operations for the law firm of pete, pete, and roy. year 1 year 2amounts billed to clients for services rendered $ 170,000 $ 220,000 cash collected from clients 160,000 190,000 cash disbursements salaries paid to employees for services rendered during the year 90,000 100,000 utilities 30,000 40,000 purchase of insurance policy 60,000 0 in addition, you learn that the company incurred utility costs of $35,000 in year 1, that there were no liabilities at the end of year 2, no anticipated bad debts on receivables, and that the insurance policy covers a three-year period. required: 1. & 3. calculate the net operating cash flow for years 1 and 2 and determine the amount of receivables from clients that the company would show in its year 1 and year 2 balance sheets prepared according to the accrual accounting model.2. prepare an income statement for each year according to the accrual accounting model.
Answers: 1
image
Business, 23.06.2019 06:10, ofmiceandkj1
The a/p clerk of a company writes the checks for vendors, and the controller signs the checks. the a/p clerk hasdevised a plan to give herself a raise. she creates a new vendor for her friend's business and creates two purchaseorders for random car detailing services for $75 and $70. she writes the checks to pay these new vendors knowing thecontroller will only pay close attention to checks over $100. she delivers the checks to her friend to deposit in his bankaccount, and then he writes her a personal check for the full amount of $145.ceventually, what will be the effect of her actions? what can the company do to prevent this type of behavior? due mondav
Answers: 1
image
Business, 23.06.2019 09:10, glamourgirlno1foev
How can a company salesperson with product development
Answers: 3
image
Business, 23.06.2019 21:30, ttrinityelyse17
Why is it that reducing the number of moves, delays, and storages in a manufacturing process is a good thing? can they be completely eliminated?
Answers: 3
You know the right answer?
Ildhorsecorporation enters into an agreement with yates rentals co. on january 1, 2018 for the purpo...

Questions in other subjects:

Konu
Mathematics, 27.02.2020 21:52