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Ugo [173]
3 years ago
6

On January 1, 2021, Maywood Hydraulics leased drilling equipment from Aqua Leasing for a four-year period ending December 31, 20

24, at which time possession of the leased asset will revert back to Aqua. The equipment cost Aqua $414,430 and has an expected economic life of five years. Aqua expects the residual value at December 31, 2024, to be $52,000. Negotiations led to Maywood guaranteeing a $73,000 residual value. Equal payments under the lease are $104,000 and are due on December 31 of each year with the first payment being made on December 31, 2021. Maywood is aware that Aqua used a 7 % interest rate when calculating lease payments. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) 6 Required: 1. & 2. Prepare the appropriate entries for Maywood on January 1, 2021 and December 31, 2021, related to the lease. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar.)
Business
1 answer:
zlopas [31]3 years ago
6 0

Answer: See explanation

Explanation:

The appropriate entries for Maywood on January 1, 2021 and December 31, 2021, related to the lease goes thus:

January 1, 2021:

Debit Right of use asset $368291

Credit Lease payment $368291

December 31, 2021:

Debit Ammortization expense $92073

Credit Rights of use asset $92073

Debit Interest expense $25780

Debit Lease payable $78220

Credit Cash $104000

The working to the above entries has been attached

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loris [4]

Answer:

a. Physical appearance

Explanation:

The Physical appearance of a person is as a result of the genetic make up of the individual. This factor barely has an influence on an individual’s core belief system.

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Family upbringing forms the basis of one's belief as the individual grows. The influence of the members of a family forms a part of the individual's core belief.

Life experiences as well forms a key part of our belief system and the same goes for personality.

3 0
3 years ago
The main goal of auditing internal control is Group of answer choices To allow the auditor to fix any internal control deficienc
mafiozo [28]

Answer:

To evaluate the effectiveness of controls over all relevant financial statement disclosures in the financial statements.

Explanation:

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The main goal of auditing internal control is to evaluate the effectiveness of controls over all relevant financial statement disclosures in the financial statements.

6 0
3 years ago
Crigui Music produces 60000 CDs on which to record music. The CDs have the following costs: Direct Materials $13000 Direct Labor
gizmo_the_mogwai [7]

Answer:

$35,000 is the maximum amount that Crigui should pay

Explanation:

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————

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7 0
3 years ago
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Differential Analysis:      

                                      Continue      Eliminate      Net income

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4 0
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alexdok [17]
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3 0
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