Leases as operating leases

Reference no: EM13133801

If a company leases equipment to other companies and records these leases as operating leases rather than a capital leases, its' (the lessor's):

I. recorded liabilities will be lower
II. recorded assets will be higher
III. total cash flows will be higher
IV. leverage ratios will be higher

A) I and III
B) II and IV
C) I only
D) II, III and IV

Reference no: EM13133801

Questions Cloud

Prepare journal entries for samson wholesale beverage : Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April 30, 2011, the company transferred $800,000 of accounts receivable to Milpitas.

Valuable antique : David had been negotiating with Ian about selling him a valuable antique. On 1 March 2014 David promised to give Ian some time to think about the terms of the agreement.

What mass of cacl2 (in g) should the chemist use : A chemist wants to make 5.1 L of a 0.291 M CaCl2 solution. What mass of CaCl2 (in g) should the chemist use

What is the monopolist marginal revenue function : What is the monopolist marginal revenue function and find the monopolist profit maximizing quantity and price and the deadweight loss of the monopolist.

Leases as operating leases : If a company leases equipment to other companies and records these leases as operating leases rather than a capital leases, its' (the lessor's):

What is the payback period : Bailey, Root, and Wylie, LLP, a law firm, is considering the replacement of its old accounting system with new software that should save $6,000 per year in net cash operating costs.

Clockwork orange : I am working withis this thesis: "its exactly this illusory sense of individuality, accessable to the upstanding members of society, denied the prisoners, which makes the conformity of the upstanding member of society the more insidious and fatal of ..

Evaluation of division using return on investment : If a division is evaluated using return on investment (ROI) without regard to how assets are financed, the denminator in the ROI calculation will be

Various types of legal issues : Identify various types of legal issues.Identifying the legal issue guides the researcher to the specific legal problem raised by the unique facts of the client's case.

User Account

All Pages