Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question - On 1 July 2019, Fisher Ltd decides to lease a cargo ship from X-Finance Ltd. The term of the lease is 20 years. The implicit interest rate in the lease is 10 per cent. The fair value of the cargo ship at the commencement of the lease is $2,215,560. The lease is non-cancellable, and requires a lease payment of $300,000 on inception of the lease (on 1 July 2019) and lease payments of $250,000 on 30 June each year (starting 30 June 2020). Included within the $250,000 lease payments is an amount of $25,000 representing payment to the lessor for the insurance and maintenance of the cargo ship. There is no residual payment required. Annuity factor, n=20; r = 10% is 8.5136.
Required -
a) Prove that the interest rate implicit in the lease is 10 per cent.
b) Provide the entries for the lease in the books of Fisher Ltd as at 1 July 2019, and 30 June 2020.
c) Provide the entries for the lease in the books of XFinance Ltd as at 1 July 2019, and 30 June 2020.
If internal audit resources are limited to conducting only one audit at a divisional location, should a high risk process that was audited last
Identify the following items as (1) operating, (2) investing, or (3) financing activities: purchase of land; payment of dividends; cash sales; and purchase of treasury stock.
a) What is the standard error of the mean difference? b) How many degrees of freedom does the t-statistic have? c) What is the 90% confidence interval for the mean dif- ference? d) What do you conclude at a = 0.05?
At an activity level of 180,000 direct labour hours, what amount would the flexible budget estimate for total budgeted fixed costs
Direct labor cost is $30 per unit. During January, 600 units were produced. Calculate the total cost of the units made of January
frado company provides you with following information related to payroll transactions for the current month. the
Determine which step in estimating a cost function using quality analysis is the most likely to present the greatest challenge and how you would address that challenge.
Discuss the importance of the "fruits of the poisonous tree" doctrine as it relates to the exclusion of evidence. How does the expectation of privacy apply to overnight guests?
There were 7,500 units in the department's beginning work in process inventory, two thirds complete with respect to conversion costs. During March, 52,500 units were started and 50,000 were completed and transferred out of the department. The endi..
What would have been the amount of inventories in 2011 if the 2010 turnover ratio had been maintained?
Thorpe's president has asked your consulting firm to make a recommendation as to whether the banolide should be sold at the split-off point or processed further. Explain your answer.
Identify any differences between U.S. GAAP and International Financial Reporting Standards in the methods allowed to value inventory.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd