Answer: C) on the balance sheet of the lessee with value equal to the present value of future lease payments.
Explanation:
According to IFRS 16 and US GAAP ASC 842 which commenced Jan 1, 2019 and Dec 15, 2018 respectively, Lease payments are to be recognized on the balance sheet of the Lessee at the present value of the future payments on the lease.
The discount rate to be used will be implicitly stated in the lease agreement if both parties were able to determine it.
Answer:
$351,000
Explanation:
The computation of the amount of an asset is as follows;
Purchase price of the building $220,000
Purchase price of the land $100,000
Transfer taxes $10,000
Attorney and real estate agent's fees $15,000
Repave the parking lot $6,000
Cost of apartment $351,000
hence, the cost of an apartment is $351,000
Ideally;
Inventory = Cost of raw materials + Cost of finished goods + Cost of work-in-progress
Assuming this ideal case, Harlan's inventory would be;
Inventory = $14,000+$25,000+$18,600 = $57,600
However, if work-in-progress inventory was listed as $0;
Then, the new work-in-progress would be;
Inventory = 57,600-18,600 = $39,000
This would reduce the inventory for Harlan Enterprises which may affect other financial ratios such as inventory turn-over ratio. As a result, such ratios will not reflect the exact position of the company.
Answer:
D) $12 trillion.
Explanation:
GDP is the sum of all final goods and services produced in an economy within a given period which is usually a year.
GDP = Consumption + Investment + Government Spending + Net Export
Net Export = Export - Import
Net Export = $1 - $2 = -$1
GDP = $7 + $1 + $5 - $1 = $12
All calculations are in trillion
I hope my answer helps you.
