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larisa [96]
3 years ago
7

If the net present value of the payments at the time of the leases was 88% of the actual market price and the useful life of the

lease was 70% and the title did not transfer at the end of the lease term, the lease will still qualify as an operating lease
A. True
B. False
Business
1 answer:
Aliun [14]3 years ago
4 0

Answer:

A. True

Explanation:

Examples of situations that individually or in combination would normally lead to a lease being  classified as a finance lease are:

(a) the lease transfers ownership of the underlying asset to the lessee by the end of the lease  term;

(b) the lessee has the option to purchase the underlying asset at a price that is expected to be  sufficiently lower than the fair value at the date the option becomes exercisable for it to be  reasonably certain, at the inception date, that the option will be exercised;

(c) the lease term is for the major part of the economic life of the underlying asset even if title is  not transferred;

(d) at the inception date, the present value of the lease payments amounts to at least substantially  all of the fair value of the underlying asset; and

(e) the underlying asset is of such a specialised nature that only the lessee can use it without major  modifications.

Since at the time of lease the net present value of the payments is 88% of the actual market price and the useful life of the asset was 70% at the end of the lease term and also the title of asset shall not be transferred to lessee at the end of lease term, therefore the lease shall not be classify as finance lease and it shall be classified as operating lease so the answer is A. True

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When the businesses within an organization share some resources and technologies and each business generates less than 40 percen
igor_vitrenko [27]

Answer:

A. related-constrained

Explanation:

From our question, it is observed that businesses within an organization share some resources and technology. However, each business generates less than 40 percent of the sales revenue of the organization. This means that there is no dominant business within the organization.

The businesses operate on a scale of <em>Operational Relatedness</em>. This is the use of a related constrained diversification strategy to share activities among businesses.

Therefore, the firm is using the related-constrained diversification multiproduct strategy.

6 0
3 years ago
The results of the experiment performed in the passage, and the model proposed in response, suggest that what relationship exist
LuckyWell [14K]

The surface activity of the monomers is decreased in each mutant protein, allowing release of the monomers from the interface.

Explanation:

Compression of the film is a consequence of withdrawal of protein solution from the droplet during step 2 of the pendant droplet test.

This is shown by the folds in the region around the dropping collar, which can be seen more distinctly after a more liquid retraction.

The wrinkles of the protein film analysis revealed that there has been no relaxation for 10 minutes after compression, which means that this surface layer is stable. Such findings show that BslA can self-assemble into a stable and complex superior film without the help of a protein or carbohydrate partner.

7 0
3 years ago
A European dairy that is famous for its rich ice creams has introduced basil-, tomato-, fennel-, and oregano-flavored ice creams
V125BC [204]

Answer:

The survey would have happened during the stage of idea screening

Explanation:

The idea screening process involves comparing and contrasting  potential new  products in order to determine which of the ideas are a perfect fit for the business giving its  current resources, strengths , opportunities ,threats or limitations of the business.

At this stage of product development,the over-aching aim is to pick the products could be best invested that yield positive in a short while rather picking all available options that might drain the resources available and not yield commensurate returns.

5 0
3 years ago
Read 2 more answers
Assume Simple Co. had credit sales of $249,000 and cost of goods sold of $149,000 for the period. Simple uses the percentage of
ella [17]

Answer:

$5,220

Explanation:

The computation of the bad debt expense for the period end adjustment is shown below:

= Allowance of bad debts + credit balance of  Allowance for Doubtful Accounts

where,

Allowance of bad debts = 2% × $249,000 = $4,980

And, the credit balance of  Allowance for Doubtful Accounts is $240

Now put these values to the above formula  

So, the value would equal to

= $4,980 + $240

= $5,220

The journal entry is shown below:

Bad debt expense A/c Dr $5,220

   To Allowance for Doubtful Accounts $5,220

(Being bad debt is recorded)

5 0
3 years ago
Troy has $50 a month transferred electronically from his checking account to his savings account. This is an example of:
kupik [55]

Answer:

Saving plan

Explanation:

The saving plan are the life insurance plans that offers the various opportunity to an individual in order save and accumulated the fund for the upcoming future

Since Troy has $50 a month and the same is transferred electronically from his checking account to his saving account so automatically he saves each month

Therefore the same represent the saving plan

7 0
3 years ago
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