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
wariber [46]
3 years ago
11

A lease agreement that qualifies as a finance lease calls for annual lease payments of $50,000 over a four-year lease term (also

the asset’s useful life), with the first payment at January 1, the beginning of the lease. The interest rate is 7%
a. Complete the amortization schedule for the first two payments.
b. If the lessee’s fiscal year is the calendar year, what would be the amount of the lease liability that the lessee would report in its balance sheet at the end of the first year? What would be the interest payable?
Business
1 answer:
Ostrovityanka [42]3 years ago
7 0

Answer:

year   beginning       interest       payment   total              ending

          balance          payment                       payment       balance

<em>1          150000               0               50000    50000      150000</em>

<em>2        100000            10500           50000    60500      100000</em>

3        50000              7000            50000     57000      50000

4.       0                       3500             50000     53500       0  

b. The balance of the lease liability reported would be $ 150000

Interest payable would be $150000*0.07 = 10500

Explanation:

the opening balance is without the $50000 paid at the beginning of every year.

interest for the previous year is paid on the beginning of the current along with the payment for the year at the beginning.

You might be interested in
how could Government intervention to minimise affects of lack of demand in the tourism and international education sector of Aus
BlackZzzverrR [31]

<u>Explanation:</u>

The government reduces regulations on tourism activities. Tourism related companies are encouraged to establish their business in a better way by reducing the interest rates for these business. The government also funds tourism related activities such as trade events. funding is also provided for events, concerts, festivals and permanent visitor attractions that can be set.

To develop the international education sector Australian government has kept the education sectors open for business.Global networking is done by government to take international students and provide education facilities.

8 0
3 years ago
You produce cars. You are willing to supply the most cars at a price level of ___
gayaneshka [121]
Im guess it would be 20,000 but im not positive

6 0
3 years ago
Read 2 more answers
As a foreign subsidiary matures:
Alex73 [517]

Answer: The local HR unit’s responsibilities for planning, training, and compensation broaden

Explanation:

A foreign subsidiary company is a partially or wholly owned company which is part of a larger corporation with its headquarters in another country. Such companies are incorporated under the country's law it is located.

When a foreign subsidiary grows and matures, the responsibilities of the local human resource unit for planning, compensation and training will broaden.

8 0
3 years ago
Question 13 of 20 : Select the best answer for the question. 13. The document a caterer uses to stipulate the terms, conditions,
iVinArrow [24]
The document a caterer uses to stipulate the terms, conditions, and contents of the services he or she will provide each client is called the A.) CLIENT AGREEMENT.

Client Agreement is a contract between the client and the contractor. Both parties will sign on the written client agreement contract and both are held accountable on the terms and conditions specified in the contract.
8 0
3 years ago
Which of the following is a function of a commercial bank? *
Zarrin [17]

Answer:

lending of depositor's funds

3 0
3 years ago
Other questions:
  • Paul is a very driven person who believes his effort and attitude determines everything. Paul_ 1. believes in the protestant wor
    8·1 answer
  • The frictional unemployment rate is 2.5 percent, the structural unemployment rate is 3.1 percent, and the economy's current unem
    8·1 answer
  • When Frito-Lay introduced its Stax brand of potato chips. These chips were meant to compete directly against Pringles. The inten
    6·1 answer
  • Private placements can be advantageous, compared to public issue, because: I. Private placements are cheaper to market than publ
    7·1 answer
  • Mullineaux Corporation has a target capital structure of 70 percent common stock and 30 percent debt. Its costs of equity is 15
    14·1 answer
  • You have been asked to set up a network for a nationwide retailer with stores in all 50 states. The retailer would like to be ab
    7·2 answers
  • How does NAFTA's elimination of 20% of Mexican tariffs on U.S. cars affect the United States?
    12·1 answer
  • Department M had 2,000 units 40% completed in process at the beginning of June, 12,000 units completed during June, and 1,200 un
    12·1 answer
  • Câu 1 Bản chất của quản trị chiến lược là phác thảo hình ảnh tương lai của doanh nghiệp trong lĩnh vực hoạt động trên cơ sở khai
    9·1 answer
  • Which is an example of qualitative investment research?
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!