Look at the image pls help

Baillie Power leased high-tech electronic equipment from Courtney Leasing on January 1, 2021. Courtney purchased the equipment f

Sholpan [36]

Answer:

Beginning Installment Interest Ending

1 144,605.00 20,000 0 124,605

2 124,605.00 20,000 3,738.15 108,343

3 108,343.15 20,000 3,250.29 91,593

4 91,593.44 20,000 2,747.80 74,341

5 74,341.25 20,000 2,230.24 56,571

6 56,571.48 20,000 1,697.14 38,269

7 38,268.63 20,000 1,148.06 19,417

8 19,416.69 20,000 582.50 0

Journal entries:

Cash 20,000 debit

lease receivables 124,605 debit

Lease Equipment 144,605 credit

--Jan 1st

cash 20,000 debit

interest revenue 3,738.15 credit

--March 31st

cash 20,000 debit

interest revenue 3,250.29 credit

lease receivables 16749.71 credit

--June 30th

cash 20,000 debit

interest revenue 2,747.80 credit

lease receivables 17252.20 credit

--Sep 30th

cash 20,000 debit

interest revenue 2,230.24 credit

lease receivables 17,769.76 credit

--Dec 31st

Explanation:

Present value of the lease payment:

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 20,000

time 8 (eight quarters)

rate 0.03 (12% annual --> divided among four quarters = 3%)

$20000 \times \frac{1-(1+0.03)^{-8} }{0.03} = PV\\$

PV $144,605.6591

We build the table starting from the present value. Then, we subtract hte installment and in the second period we start doing interest calculations

(not in the firt one as it is being paid in the present thus, no interest accrued)

8 0

3 years ago

The benefits of portfolio diversification are highest when the individual securities have returns that Group of answer choices A

emmasim [6.3K]

Answer:

Are uncorrelated with the rest of the portfolio

Explanation:

Portfolio diversification is the process of holding different asset and security classes in order to minimise the non systemic risk of the portfolio

Non systemic risk are risks that can be diversified away. they are also called company specific risk. Examples of this type of risk is a manager engaging in fraudulent activities.

The highest benefit of diversification is when the securities are uncorrelated

Correlation is a statistical measure used to measure the relationship that exists between two variables.

1. Positive correlation : it mean that the two variables move in the same direction. If one variable increases, the other variable also increases.

For example, there should be a positive correlation between quantity supplied and price

When there is a positive correlation, the graph of the variables is upward sloping

2. Negative correlation : it mean that the two variables move in different direction. If one variable increases, the other variable decreases.

For example, there should be a negative correlation between quantity demanded and price

When there is a negative correlation, the graph of the variables is downward sloping

3. Zero correlation : there is no relationship between the variables

4 0

3 years ago

List two reasons why someone looking at a career in the Energy cluster might want to focus on new technology, such as energy-eff

borishaifa [10]

Answer:

Explanation: two reasons for why someone looking at a career in the Energy cluster might want to focus on new technology, such as energy-efficient products or sustainable energy; Energy efficient technologies are now found in most energy conversion chains.Mar 9, 2020

7 0

3 years ago

If a fraudster manipulates the assumptions used to calculate depreciation charges in order to increase earnings to a desired fig

liubo4ka [24]

Answer:

Playing the accounting system

Explanation:

Playing the accounting system means fraudsters introduces false information or influences the way the accounting system operates so that results will give higher amounts than one would normally get.

For example creating fictitious customers and assigning sales figures to them, aimed at inflating sales.

In the given instance the fraudster manipulates the way the accounting system calculates depreciation in order to gain from the inflated figures.

8 0

3 years ago

Which loan type requires you to make loan payments while you’re attending school?

boyakko [2]

I think it's none of the above.

7 0

3 years ago