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
Semenov [28]
3 years ago
5

All of the following statements regarding leases are true except : A. For a capital lease the lessee records the leased item as

its own asset. B. Capital leases do not transfer ownership of the asset under the lease, but operating leases often do. C. Capital leases create a long-term liability on the balance sheet, but operating leases do not. D. For a capital lease the lessee depreciates the asset acquired under the lease, but for an operating lease the lessee does not. E. For an operating lease the lessee reports the lease payments as rental expense.
Business
1 answer:
faust18 [17]3 years ago
5 0

Answer: B. Capital leases do not transfer ownership of the asset under the lease, but operating leases often do.

Explanation:

When using Capital Leases, the lessee will record the lease as if it were their own asset and as a result will also depreciate it. The lessee will also create a long term liability on their balance sheet for the asset.

Capital leases usually also involve a transfer of ownership to the lessee at the end of the lease term. Operating Leases on the other hand do not have these features. They are more like a rental of an asset and as such are recorded as a rental expense in the books of the lessee. The ownership remains with the lessor in an Operating Lease and the asset will be returned once the lease period is over.

You might be interested in
Assume that a company sells customized sweatshirts for $15 per unit. It pays a sales commission of $5 per unit sold. The company
Annette [7]

Answer:

The  The number of sweatshirts the company would need to sell to earn a target profit of $1,710 is closest to <u>570</u> sweatshirts.

Explanation:

This can be calculated as follows:

Selling price per unit = $15

Total cost price per unit = Average unit cost + Sales commission per unit = $7 + $5 = $12

Profit per unit = Selling price per unit - Total cost price per unit = $15 - $12 = $3

Target profit = $1,710

Number of sweatshirts to sell to earn a target profit = Target profit / Profit per unit = $1,710 / 3 = 570

5 0
2 years ago
Helen, who is single, is considering purchasing a residence that will provide an $18,000 tax deduction for property taxes and mo
GenaCL600 [577]

Answer:

amount of tax saving is $4320

Explanation:

given data

tax deduction = $18000

marginal tax rate = 24%

effective tax rate = 20%

to find out

amount of tax saving

solution

we know tax saving formula that is

tax saving = tax deduction × marginal tax  ........................1

so now put here all value in equation 1

tax saving = tax deduction × marginal tax

tax saving = 18000 × 24%

tax saving = 18000 × 0.24

tax saving = 4320

so amount of tax saving is $4320

4 0
2 years ago
Marlin Steel Wire Products is a manufacturer of commodity wire products out of Baltimore, MD. Marlin has many rivals based in Ch
Ostrovityanka [42]

Answer:

<em>Focus Strategy</em>

Explanation:

Focus Strategy <em>is a marketing strategy in which a business focuses its resources on entering or expanding into a narrow segment of the market or industry.</em>

Usually a focus strategy is used where the company knows its section and has products to meet its needs competitively.

Focus strategy is one of three strategies for generic marketing.

7 0
3 years ago
You are stocking shelves when you notice that a large line has formed at the only open cash register. what will you do?
Sauron [17]
I will stop what I am doing to go open another cash register so things will move by quicker and customers won't get irritated
7 0
3 years ago
Read 2 more answers
EAPs are designed to affirm all of the following except
Anton [14]

Answer:

c. monitored employees are better employees

Explanation:

EAP stands for employee assistance program. It basically creates a help for employees which are facing any kind of personal or professional problems in their life.

It is a self initiated program to help the employees, by providing guidance, solving grievances or by any other means.

It nowhere assures that the employees shall be continuously monitored, while they perform and that the employees shall be set free to work in the manner they desire, as long as the company is achieving the targets.

6 0
3 years ago
Other questions:
  • Assume that Diego has S400 per month to divide between playing paintball and playing golf. Assume that playing paintball costs S
    13·1 answer
  • ____ help companies meet the legal requirement that their human resource decisions be job-related.
    9·1 answer
  • The following lots of Commodity Z were available for sale during the year. Beginning inventory 7 units at $49 First purchase 18
    10·1 answer
  • After developing a computer locking system, Caffrey Computer Corp. worked out a licensing deal with Chicago Desktop (a potential
    8·1 answer
  • 1. A system held inventory to protect it from uncertainties in supply. In an effort to be lean, this inventory is used and not r
    14·1 answer
  • A combination of a sole proprietorship and corporation
    8·1 answer
  • Discuss the importance of innovation in the survival and success of a business. Include three strategies that you, as an entrepr
    11·1 answer
  • The consumer has very few rights after purchasing a faulty product. True or False.
    13·1 answer
  • Mr. Buffett says the kinds of bad qualities some people show are qualities that no
    8·1 answer
  • In a competitive market equilibrium, the allocation of the social surplus is such that ____________.
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!