The following facts pertain to a non-cancelable lease agreement between Mooney Leasing Company and Rode Company, a lessee. Commencement date May 1, 2020
Annual lease payment due at the beginning of each year,
beginning with May 1, 2020 20471.94
Bargain purchase option price at end of lease term 4000
Lease term 5 years
Economic life of leased equipment 10 years
Lessor's cost 65000
Fair value of asset at May 1, 2020 91000
Lessor's implicit rate 8%
Lessee's incremental borrowing rate 8%
The collectibility of the lease payments by Mooney is probable.
Instructions (Round all numbers to the nearest cent.):
a. Discuss the nature of this lease to Rode.
b. Discuss the nature of this lease to Mooney.
c. Prepare a lease amortization schedule for Rode for the 5-year lease term.
d. Prepare the journal entries on the lessee's books to reflect the signing of the lease agreement and to record the payments and expenses related to this lease for the years 2020 and 2021.
Rode's annual accounting period ends on December 31. Reversing entries are used by Rode

If research reveals that a company has a large number of unresolved complaints and a poor business rating, which external source did you most likely use during this research? a. blogs b. better business bureau c. social media d. local chamber of commerce e. mint global

73. calculate the weighted average cost of capital (wacc) based on the following information: the equity multiplier is 1.66; the interest rate on debt is 13%; the required return to equity holders is 22%; and the tax rate is 35%. (a) 15.6% (b) 16.0% (c) 15.0% (d) 16.6% (e) none of the above

Cardinal company is considering a project that would require a $2,725,000 investment in equipment with a useful life of five years. at the end of five years, the project would terminate and the equipment would be sold for its salvage value of $400,000. the company’s discount rate is 14%. the project would provide net operating income each year as follows: sales $2,867,000 variable expenses 1,125,000 contribution margin 1,742,000 fixed expenses: advertising, salaries, and other fixed out-of-pocket costs $706,000 depreciation 465,000 total fixed expenses 1,171,000 net operating income $571,000 1. which item(s) in the income statement shown above will not affect cash flows? (you may select more than one answer. single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. any boxes left with a question mark will be automatically graded as incorrect.) (a)sales (b)variable expenses (c) advertising, salaries, and other fixed out-of-pocket costs expenses (d) depreciation expense 2. what are the project’s annual net cash inflows? 3.what is the present value of the project’s annual net cash inflows? (use the appropriate table to determine the discount factor(s) and final answer to the nearest dollar amount.) 4.what is the present value of the equipment’s salvage value at the end of five years? (use the appropriate table to determine the discount factor(s) and final answer to the nearest dollar amount.) 5.what is the project’s net present value? (use the appropriate table to determine the discount factor(s) and final answer to the nearest dollar amount.)