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Readme [11.4K]
3 years ago
6

Effective December 15th, 2018, the operating leases will be recorded: A) as an asset and liability on the balance sheet of the l

essee with a value equal to the estimated residual value of the leased asset. B) in the footnotes rather than on the balance sheet of the lessee. C) on the balance sheet of the lessee with value equal to the present value of future lease payments. D) only on the balance sheet and income statement of the lessor. E) only on the income statement of the lessee as each lease payment is expensed.
Business
1 answer:
Shalnov [3]3 years ago
4 0

Answer: C) on the balance sheet of the lessee with value equal to the present value of future lease payments.

Explanation:

According to IFRS 16 and US GAAP ASC 842 which commenced Jan 1, 2019 and Dec 15, 2018 respectively, Lease payments are to be recognized on the balance sheet of the Lessee at the present value of the future payments on the lease.

The discount rate to be used will be implicitly stated in the lease agreement if both parties were able to determine it.

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Today is date 0. In 10 years, you plan to retire and buy a house in Norman, OK. In terms of a time line, you will retire at the
Marianna [84]

Answer:

$20,441.67

Explanation:

the present value of your house is $200,000, its future value = $200,000 x (1 + 5%)¹⁰ = $325,778.93

you can earn a 10% annual interest rate for 10 years, that means that we can use a future value of an annuity factor = 15.937

your annual investment = future value of the house / annuity factor = $325,778.93 / 15.937 = $20,441.67

6 0
4 years ago
​Historically, the production of many perishable​ foods, such as dairy​ products, was highly seasonal.​ Thus, as the supply of t
Levart [38]

Answer:

We have to select the supply curve graph that correctly depicts the situation.

I have provided the graphs in the attachment below.

The correct answer is the graph C

Explanation:

When factors other than price increase the supply of a good, the supply curve shifts to the left. Mechanical refrigeration is an advance in technology that increases the amount of dairy products that producers can supply at any given price, therefore, the supply curve shifts to the right.

Demand stays the same, and benefits from lower prices (and from smaller fluctuations in price).

3 0
3 years ago
Noah’s family has been out of control with their spending lately. They have decided to come up with a spending plan to help them
KIM [24]

Answer:

The correct answer is C. A budget.

Explanation:

A budget is a document whose function is to organize the money flows of a certain organization, reflecting the financial effects of the different decisions that the organization makes. Thus, the budget is a coordination between the wants and needs, and the economic possibilities that the organization has to meet those wants and needs. In addition, a budget allows to determine economic and financial objectives, and control the entry and exit of money efficiently, to avoid certain unnecessary expenses, thus optimizing the return on money.

4 0
3 years ago
When sport leagues do not expand into a market that can support a franchise, or when they create rules to limit the movement of
seropon [69]

Answer:

scarcity

Explanation:

Based on the information provided within the question it can be said that this scenario is causing the economic concept of scarcity to be applied. In the context of economics, this term refers to something that is being limited and thus creating a gap between the limited resource and the possible limitless wants/demand that may exist.

7 0
4 years ago
cost reductions stemming from strategic fit along the value chains of related businesses can result in multiple choice economies
lidiya [134]

Economies of scope may emerge from cost reductions due to strategic fit along the value chains of associated enterprises.

A strategy is a plan of action used by businesses to accomplish their long-term objectives. To put it another way, it is a long-term strategy that businesses adopt to achieve their goals. It entails a set of actions that follow a pattern and aim to accomplish a company's objectives. Long-term, it aids in adapting its operations, resources, and scope to external developments.

For a variety of business sectors, companies establish strategies. They can adopt a forward-thinking strategy with the help of these techniques. Additionally, it enables businesses to employ their resources more effectively. Strategies are essential for giving a business direction and goal.

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5 0
1 year ago
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