1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Aneli [31]
3 years ago
8

17. The costs that (a) are associated directly with consummating a lease, (b) are essential to acquire the lease and (c) would n

ot have been incurred had the lease agreement not occurred are referred to as initial direct costs. Initial direct costs are deferred and expensed over the lease term, generally on a straight-line basis in:
Business
1 answer:
dalvyx [7]3 years ago
5 0

Answer:

a sales-type with selling profit

Explanation:

Initial direct costs are deferred and expensed over the lease term in a sales type lease. A sales type lease is lease that has the present value of lease higher than the carrying value in the books. Therefore the lessor is seen as selling the leased property and should recognize profit since there is a selling profit. The lessor and lease account differently for sales type lease, the lessor based on classification of sales type lease expenses(at least at comencement) it while the leassee capitalizes right if use and amortizes payments over lease term

You might be interested in
Basic similarity and different between BAUM, UNIDO, DEPSA project life cycle
Fiesta28 [93]

Answer:

BAUM, UNIDO, and DEPSA all refer to types of project development cycles.

A. The BAUM project lifecycle refers to the World Banks' project development cycle as described by Warren Baum.  

The BAUM project life cycle features 6 stages namely:

  1. identification of opportunity
  2. preparation for the project
  3. appraisal of the project
  4. negotiations related to the project
  5. implementation and supervision  of the project and
  6. ex-post evaluation  

B. UNIDO - The UNIDO model features three major stages which are also broken down into various steps.

Pre-investment phase

This phase is further divided into:

  • A study of the opportunity presented. This has to do with identifying ideas to be invested in.
  • Pre-feasibility study. This stage involves the formulation, and selection of project alternatives)
  • Feasibility study. When the project is selected, then it is tested to economic feasibility.
  • Submission of report on the evaluation          

    2. Investment phase  

This stage is further broken down into:

  • Project design stage: At this stage, the criteria for success, and key deliverables are spelt out.
  • Construction stage  (For engineering or building projects)
  • Pre-production marketing stage
  • Training  of staff
  • Kick-off stage  

  3. Operational phase  

This is also broken down into:  

Replacement of equipment  due to wear and tear or upgrade to better technologies

Development, invasion or liquidation states.

C. DEPSA stands for "Development Project Studies Authority".

This variant of the Project Lifecycle also consists of three major stages. They are:  

  • Pre-investment phase
  • Investment and
  • Operation

The DEPSA stage is very similar to the UNIDO project life cycle. Both are defined according to an Investment Cycle paradigm and that's the reason why you have pre-investment, investment and operations phase for both methodologies.  

Whilst the UNIDO model is more 'universal' in that it speaks to a wide range of businesses including engineering projects, DEPSA seems a little skewed towards engineering projects.  

This is evident in the terminologies used in the investment phases. With DEPSA you would notice terms like 'detailed engineering design'

'construction', and 'erection'. The UNIDO the investment phase contains engineering terms but also speaks to 'marketing' and 'training'  

While the BAUM project lifecycle contains all the basic stages in the DEPSA and UNIDO life cycles, it holds a universal outlook and seems applicable to both business and engineering projects.

Cheers!

5 0
3 years ago
Bachelor’s degrees are typically earned in _____.
WARRIOR [948]

Answer:

A bachelor degree is typically earned between 3 and 4 years. Many schools require students to complete about 40 courses or 120 credit hours.

8 0
2 years ago
Read 2 more answers
Select the correctly punctuated sentence. he wanted to do the right thing but the situation was very confusing. he wanted to do
Eva8 [605]
The answer is B. He wanted to do the right thing, but the situation was very confusing.

3 0
3 years ago
Read 2 more answers
Fiat money has an alternative use as an economic good, while commodity money did not. True or false
Drupady [299]

Answer:

False

Explanation:

Commodity money is money whose value comes from a commodity of which it is made. Commodity money consists of objects having value or use in themselves (intrinsic value) as well as their value in buying goods.

Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. Fiat money does not have use value.

4 0
3 years ago
Market risk refers to the tendency of a stock to move with the general stock market. A stock with above average market risk will
Stolb23 [73]

Answer: True.  Market risk refers to the tendency of a stock to move with the general stock market. A stock with above average market risk will tend to be more volatile than an average stock, and its beta will be greater.

Explanation: If a stock has a beta that is greater than 1, there is a higher risk for the stock. High risk stocks have a higher potential for return, but are also easier to lose funds from.

4 0
3 years ago
Other questions:
  • ?in order to receive customers' feedback on the company's latest product, the marketing managers of havtol inc., a food products
    7·1 answer
  • Behaviors that are more common in your life make better reinforcers than behaviors that are less common. this is known as _____.
    7·1 answer
  • Which one of the following is a source of cash?A. decrease in inventoryB. increase in accounts receivableC. decrease in accounts
    7·2 answers
  • Which of the following is the best reason for researching and comparing colleges’ curricula before making a final decision?
    15·2 answers
  • What are five groups of people to whom business communication might write letters of appreciation?
    11·1 answer
  • During the year ended December 31, 2018, Kelly’s Camera Shop had sales revenue of $180,000, of which $90,000 was on credit. At t
    9·1 answer
  • On November 1, 2017, Bob, a cash basis taxpayer, gave Dave common stock. On October 30, 2017, the corporation had declared the d
    13·1 answer
  • On July 1, Arcola Company purchases equipment for $330,000. The equipment has an estimated useful life of 10 years and expected
    5·1 answer
  • In four to six sentences, explain the savings-borrowing-Investing cycle.​
    8·1 answer
  • A company that designs video games has decided to expand and needs to hire Software Developers, Web Administrators, and Computer
    7·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!