Complete Question:
Accounting for an Operating Lease) On January 1, 2020, a machine was purchased for $900,000 by Young Co. The machine is expected to have an 8-year life with no salvage value. It is to be depreciated on a straight-line basis. The machine was leased to St. Leger Inc. for 3 years on January 1, 2020, with annual rent payments of $150,955 due at the beginning of each year, starting January 1, 2020. The machine is expected to have a residual value at the end of the lease term of $562,500, though this amount is unguaranteed.
Instructions
a. Record the journal entries St. Leger would record for 2020 on this lease, assuming its incremental borrowing rate is 6% and the rate implicit in the lease is unknown.
b. Suppose the lease was only for one year (only one payment of the same amount at commencement of the lease), with a renewal option at market rates at the end of the lease, and St. Leger elects to use the short-term lease exception. Record the journal entries St. Leger would record for 2020 on this lease.
Answer:
Attached file is the is a detail preparation in excel format
Answer and Explanation:
John Mcdanel's case was a case of wrongly convicting an innocent person. John Mcdanel, a hacker, particularly interested in cyber security found security flaws in Tornado's website. Tornado's website logged user credentials to next website visited by user after tornado and also showed user credentials in the url. John Mcdanel aimed to close this security hole by sending out about 5600 emails to alert the public on the security issue. He was convicted on the grounds that he had violated section 1030(a)(5)(A) of the CFAA. CFAA act protects against transmission of code and programs that cause harm to a computer. However this was not true as Bret(former employee) had an honest intention of communicating information on the true state of the security of tornado's website. He was judged guilty of the crime and jailed for 16 months after which he made an appeal. Federal prosecutors declared Bret Mcdanel an innocent whistle-blower after he had served time, determining that he had been wrongly convicted.
John Mcdanel's had served time anyways and his reputation had been affected.
Answer:
True.
Explanation:
True, the given statement is true because, for any business, customers are the main person for which the company makes the product. If the customer makes some complaint that means he is not happy with the service or product of your company. However, in such a case the company may lose its customers but it is the communication that can hold the customer when he complains. When a customer makes a complaint then it is a must remember all types of skills that can satisfy the customer and it could be verbal communication, nonverbal, and listening skills.
Answer:
There are three roles that should come into play: Subsidiaries, joint ventures, and licensing. The main role that should be used is joint ventures.