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drek231 [11]
3 years ago
14

On December 31, 2021, Wildhorse, Inc. leased machinery with a fair value of $1,425,000 from Cey Rentals Co. The agreement is a 6

-year noncancelable lease requiring annual payments of $270,000 beginning December 31, 2021. The lease is appropriately accounted for by Wildhorse as a finance lease. Wildhorse’s incremental borrowing rate is 11%. Wildhorse knows the interest rate implicit in the lease payments is 10%. The present value of an annuity due of 1 for 6 years at 10% is 4.7908. The present value of an annuity due of 1 for 6 years at 11% is 4.69590.In its December 31, 2021 balance sheet, Wildhorse should report a lease liability of:_______
Business
1 answer:
Contact [7]3 years ago
5 0

Answer:

$1,023,516

Explanation:

The computation of the lease liability reported is shown below:

= Present value of annual payment - Annual payments

where,

Present value of annual payment = 270000 × 4.7908

= $1,293,516

And, the annual payment is $270,000

So, the lease liability reported is

= $1,293,516 - $270,000

= $1,023,516

We simply applied the above formula to determine the lease liability

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During the Pillsbury Bake-Off, thousands of people across the country compete to create the best new recipe using the sponsor's
faltersainse [42]

Answer:

contest

Explanation:

Based on the information provided within the qeustion it can be said that this promotion is an example of a very successful contest. A contest is an event in which a large amount of people compete in a certain task in order to prove that they are the best at that task. These events usually have a grand prize for the winner. Which in this scenario this contest's top 100 finalists are flown to Florida to compete in another contest in order to win $1 million dollars.

6 0
3 years ago
Henry runs moonlight café, a world renowned fast-food restaurant, in his locality. he started the restaurant after getting a lic
svetoff [14.1K]
The answer to this question is <span>franchise
</span><span>franchise refers to a form of business model that give other party the right to use the company's business model.
</span>As a return, that other party have to pay a certain percentage of money periodically based on the sales that they made by using the franchise.
6 0
3 years ago
Treasury stock that had been purchased for $4,566 last month was reissued this month for $5,184. What would the journal entry to
miss Akunina [59]

Answer:

The answer can include both C and D. Description below.

Explanation:

We make the following records.

The treasury stock was reissued at a premium of 5184 - 4556 = $628

Since treasury stock is  credit account by nature we debit  to reduce it by the Amount of $4,566

$628 is to be credited to the paid in capital as this is premium received in excess of par value of the stock. Since there is no mention of premium or paid in capital account we may credit the Excess of Par/Common.

Hope that helps.

7 0
4 years ago
the administrative marketing and manufacturing operations that many international firms multinational firms and transnational fi
masya89 [10]

Answer:

divisions

Explanation:

Divisional organizational structure

can be regarded as structure that organizes the activities of a particular organization or business around a market, geographical, as well as product and service groups. A company could organize on divisional lines by having operating groups for different geographical Locations like in United States or Europe, all the divisions will individually contains complete set of functions, each could handle their different activities such as sales and

accounting activities.

It should be noted that divisions is

the administrative marketing and manufacturing operations that many international firms multinational firms and transnational firms have around the world.

4 0
3 years ago
Adam Smith believed that incentives to seek personal gain would create wealth, but that the government must then step in to make
ryzh [129]

Answer:

b. False

Explanation:

Adam Smith believed that incentives to seek personal gain would create wealth. He did not believe in active government intervention in order to redistribute wealth in an equitable manner. Adam Smith favored capitalism and the accumulation of wealth by individuals, he did not favor socialism and the redistribution of wealth.

4 0
3 years ago
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