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A company leases the third and fourth floors of a 20-story building under an operating lease that expires on December 31, 2008.On December 1st, 2003, in conjunction with the downsizing of its headquarters staff, Charlie decides to cease using the fourth floor effective January 1st, 2003.Based on market rentals, Charlie determines that it could sublease the fourth floor for $100,000 per year for the remaining five years, but decides not to do so on the cease-use date. The rent allocable to the fourth floor is $150,000 a yea. Credit adjusted Risk free rate is 6%.
(1) In reporting to its UK.-parent under IFRS, how should company account for the restructuring program for the year ended December 31, 2003?1b. Provide all necessary journal entries for Dec 31, 2003, January 1st, 2004 and December 31,2004.
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What should be of interest is how the AICPA finds out about unprofessional conduct. 1. the public files a compliant. 2. the CPA him/herself voluntarily discloses (a felony conviction, for example), 3. a government agency notifies the AICPA (the IR..
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