Answer:
The present value of the machine is $35499
Explanation:
The annual amount or annuity amount = $4010 per year.
Total number of years = 13 years
Here, the interest rate is not given so we just assume the interest rate = 6% per annum.
Since we have a total number of years and annual payment that occurs for 13 years. We are required to find the present value of the machine. So use the formula to find the present value of the annuity.
The present value of machine = (Annuity amount x (1 – (1+r)^-n) ) / r
The present value of machine = (4010(1 – (1+6%)^-13) ) / 6%
The present value of machine = $35499
Answer:
Proofread for punctuation errors (it's a must!!), Jot down reasons that explain the bad news (I think), Organize your ideas (I think)
Explanation:
I think: Jotting down the reasoning helps/support the information (specifically) the bad news. Organizing your ideas helps to keep everything you write on track and ideas you want to mention always start from check-point A to check-point B and so forth.... (It's my thoughts of an answer)
Answer: A. deferred and recognized as income over the term of the lease.
Explanation:
In a sale-leaseback transaction, that is when a property is sold by a company and leased back, the property seller is the lessee and the property purchase is the lessor. In this case, a sale-leaseback will allow a company to sell an asset so that the company can raise capital, after which the asset can then be leader back.
When a company sells property and then leases it back, any gain on the sale should usually be deferred and recognized as income over the term of the lease.
Revenues - Asset
Expenses - Liability
Answer:
Allocated to expense over the service period which usually is the vesting period.
Explanation:
The compensation associated with restricted stock units (RSUs) under a stock award plan is Allocated to expense over the service period which usually is the vesting period.
The compensation associated with restricted stock units (RSUs) under a stock award plan is computed as
Number of shares represented by the RSUs * market price of an unrestricted share of the same stock.
