Kingdom leasing inc incurred costs of 6500 in negotiating

1) The normal selling price of the jousting equipment is $325000 and the cost of the asset to Kingdom Leasing Inc. was $250000.
2) Knight will pay all maintenance, insurance and taxes costs directly and annual payments of $60000 on Jan 1 each year.
3) The lease begins on Jan 1, 2012 and payments will be in equal annual installments.
4) The lease is noncancelable with no renewal option. The lease term is 10 years (the same as the estimated economic life).
5) At the end of the lease, the jousting ring will revert to Kingdom Leasing Inc. and have an unguaranteed residual value of $30000. Their implicit interest rate is 10%.
6) Kingdom Leasing, Inc. Incurred costs of $6500 in negotiating and closing the lease. There are no uncertainties regarding additional costs yet to be incurred and the collectability of the lease payments is reasonably predictable.

Required:
a) Determine what type of lease this would be for the lessor and calculate the following: (show all work)
	Lease Receivable
	Sales Price
	Cost of Sales
b) Prepare Kingdom's amortization schedule for the lease terms.
c) Prepare all the journal entries for Kingdom for 2012. Assume a calendar year fiscal year.

An organization makes and sells one product if the target : an organization makes and sells one product. if the target net profit for the month is 26000 monthly fixed costs are

The thomas company now has 12000 his is what they paid for : the thomas company now has 12000 his is what they paid for the inventory of obsolete inventory stock. this inventory

Using the indirect method prepare the companys statement of : the following financial statements relate to alpine trails ski resort comparative balance sheets as of december 31 20x3

The customer service representatives answer basic questions : your company has been trying to survive during this downturn in the economy. you are the manager of a call center that

Kingdom leasing inc incurred costs of 6500 in negotiating : 1 the normal selling price of the jousting equipment is 325000 and the cost of the asset to kingdom leasing inc. was

Tadpole corporation a calendar-year tax payer purchased and : tadpole corporation a calendar-year tax payer purchased and places into service machinery with a 7-year life that costs

What is the final temperature when 200 g of water specific : what is the final temperature when 20.0 g of water specific heat capacity 4.184 jbullg-1bullk-1 at 80.0 ?c is mixed

Rita a single employee with agi of 80000 before : rita a single employee with agi of 80000 before consideration of the items below incurred the following expenses during

Describe what is meant by lsquoculture and discuss the : this essay enables you to explore the concept of culture from a health perspective and to develop your understanding of