The lease at the end of two years for an additional

Assignment Help Taxation
Reference no: EM13880412

1.Manufacturers Southern leased high tech electronic equipment from Edison Leasing on January 1, 2013. Manufacturers Southern has the option to renew the lease at the end of two years for an additional three years for $8,000 per quarter. Edison purchased the equipment from International Machines at a cost of $198,375.

Required:
1. Prepare appropriate entries for Manufacturers Southern from the commencement of the lease through March 31, 2013. Appropriate adjusting entries are made quarterly.
2. Prepare an amortization schedule for the term of the lease. 

Reference no: EM13880412

Questions Cloud

Analyze the accounting equation effects of the transactions : Analyze the accounting equation effects of the transactions in M2- 13 using the format shown in the chapter and compute total assets, total liabilities, and total stockholders' equity.J. K. Builders was incorporated on July 1. Prepare journal entries..
What is the developer''s most profitable site : What is the developer's most profitable site? Suppose the developer negotiates with a number of towns. At which site would you predict the final agreement to be reached? Does this site generate maximum net benefits?
List the six major categories of occupational illnesses : List the six major categories of occupational illnesses, and give three examples of each. What are some methods that can be used to control potential exposures in the workplaceDiscuss safe practices that can be used for working with chemicals in labo..
Work breakdown structure for the construction of building : Prepare a Work Breakdown Structure for the construction of the building. You should use all of the tasks the case has described as well as adding at least 10 of your own. It is NOT expected that the WBS be in MS Project, a Microsoft Word document ..
The lease at the end of two years for an additional : 2. Prepare an amortization schedule for the term of the lease.
What are the shortcomings of the eoq? : What are the shortcomings of the EOQ? What is your rationale?
Consider nodal configuration : Consider nodal configuration 2 of Table 4.2. Derive the finite-difference equations under steady-state conditions for the following situations.
Joel henry founded bookmart com at the beginning of august : Joel Henry founded Bookmart.com at the beginning of August, which sells new and used books online. He is passionate about books but does not have a lot of accounting experience. Help Joel by preparing journal entries for the following events. If the ..
Calculate the dimensionless parameters : Consider conditions for which a fluid with a free stream velocity of V = 1 m/s flows over an evaporating or subliming surface with a characteristic length of L = 1 m, providing an average mass transfer convection coefficient of hm, = 10-2 m/s. Cal..

Reviews

Write a Review

Taxation Questions & Answers

  Analyse the atm servicing costs for withdrawals

Analyse the ATM servicing costs for withdrawals and deposits and recommend an allocation of these servicing costs to transaction costs for XpressCash and XpressTeller ATMs for each transaction type.

  Prepare a 2012 tax return using the following information

prepare a 2012 tax return using the following information. forms 1040 schedule a schedule b schedule c schedule se only

  The current taxable year

1. Aall events occurred in "the current taxable year;"

  Question 1 determine whether the following benefits are

question 1 determine whether the following benefits are fringe benefits or exempt fringe benefits and where applicable

  Question 1 prior to 2012 pretax financial income and

question 1. prior to 2012 pretax financial income and taxable income were identical.2. pretax financial income is

  Advise jools of its legal rights and remedies

Advise Jools of its legal rights and remedies, if any. In your answer discuss any legal points that Ming may argue. You may assume that Jools has satisfactorily performed all of its obligations under the original contract.

  Compute steves taxable income

Steve Greene, age 66, is divorced with no dependents. In 2014 Steve had income and expenses as follows: Gross income from salary $80,000 Total itemized deductions 5,500 Compute Steve's taxable income for 2014.

  Fringe benefit tax and capital gain tax

Advise ABC of its FBT consequences arising out of the above information, including calculation of any FBT liability, for the year ending 31 March 2014. Assume that ABC would be entitled to input tax credits in relation to any GST-inclusive acquisi..

  Advise jack and jill of their income tax consequences

Advise Jack and Jill of their income tax consequences arising out of the above information under both the diminishing value method and the prime cost method (if relevant) for the year ended 30 June 2015

  Calculate johnsons expense deduction

Calculate Johnson's expense deduction using the 2009 Form 2106 (Employee Business Expenses) based on actual automobile expenses and other employee business expenses.

  What is josephuss amt liability for 2014

What amount did Jones report as alternative minimum taxable income before the AMT exemption - what must be done before Jack can claim the exemption and can anyone claim head-of-household status based on Jane's dependency exemption? Explain.

  What is the tax treatment of the scholarship

What is the tax treatment of the scholarship? Is Andrew required to include it as income on his tax return? Is Andrew eligible for the education credits?

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd