What is the total financial revenue on January

Assignment Help Financial Accounting
Reference no: EM132980308

Problem - An entity adopted the policy of leasing as the primary method of selling its products. The entity constructed special equipment (main product) for JAZ Company at a cost of P8,500,000. The terms of the lease provided for annual advance payments of P2,500,000 to be paid over 10 years with ownership transferring to JAZ at the end of the lease term. It is estimated that the equipment will have a residual value of Pl,600,000 at the end of the lease term. The lease payments began on January 1, 2021. The entity incurred initial direct cost of P500,000 in finalizing the lease agreement with JAZ. The rate implicit in the lease is 14% and the PV of an annuity due of l at 14% for 10 periods is 5.95. What is the total financial revenue on January 1, 2021?

Reference no: EM132980308

Questions Cloud

Discuss perception of middle age : What should people be able to do physically and cognitively at this time of life? Discuss perception of Middle Age. When do they think middle age is?
At how much per unit should product X priced for sale : Based on estimated sales of 10,000 units of product X next year, At how much per unit should product X priced for sale
Discuss the physical changes that occur in late adult hood : Examine and discuss and socioemotional changes that occur in late adult hood. Discuss the physical changes that occur in late adult hood
Means of terminating employment contracts : Identify the various methods/means of terminating employment contracts.
What is the total financial revenue on January : The rate implicit in the lease is 14% and the PV of an annuity due of l at 14% for 10 periods is 5.95. What is the total financial revenue on January 1, 2021
Discuss concepts of judicial activism and judicial restraint : -The Supreme Court is the final arbiter of lawsuits in our country. These 9 Justices will interpret what the Constitution means. As times changes many argue tha
Why is increasing emphasis on nutrition for middle aged : Why is there increasing emphasis on nutrition and exercise for middle aged and aging families? Why is it more significant than 30 years ago?
Delete boss with recommendations on the challenges : Qistina Balqees, the owner and founder of a company with 15 employees, has hired you as Human Resource Manager so she can focus on other areas of her business.
Explain the significance of professional development : Discuss the significance of professional development, or lifelong learning, and its relevance in caring for diverse populations across the life span

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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