On January 1, 2010, Stanley Corp On January 1, 2010, Stanley Should Record a Debit to Direct

question 81

Multiple Choice

On January 1, 2010, Stanley Corp., a lessor, signed a direct financing lease.Stanley was to receive annual year-end payments of $8, 000 for ten years, after which there was a guaranteed residual value of $6, 000.The implicit interest rate was 8%.Actuarial information for 8%, ten periods follows: $\begin{array}{llr} \text {Present value of ordinary annuity of \( \$ 1 \) } &6.71008\\ \text {Present value of amount of \( \$ 1 \) } &0.46315\\\end{array}$
On January 1, 2010, Stanley should record a debit to Lease Receivable for

• A)$53, 680.64
• B)$56, 459.78
• C)$80, 000.00
• D)$86, 000.00

---

Definitions:

Analysis Result

The outcome or conclusions derived from systematically examining and interpreting data.

Probability

A measure of the likelihood that an event will occur.

Research Hypothesis

A statement made by a researcher predicting a possible outcome or association between two or more variables in a study, often tested against the null hypothesis.

Binge Drinking

The consumption of an excessive amount of alcohol in a short period, typically defined as five or more drinks for men and four or more for women within about two hours.