Examlex
LAC has negotiated a lease agreement with LEC effective January 1,2014.LAC will provide LEC with a special-purpose building for ten (10)years.The lease is non-cancellable; requires LEC to provide maintenance,insurance,taxes,etc.; and stipulates that the building reverts back to LAC's control at the end of the lease.The building cost LAC $200,000 and is expected to have no residual value at the end of the lease.LAC expects a 15% return on investments and the lease qualifies as a direct financing lease.Rents are paid each December 31 starting in 2014.
(a)How much annual rent will the lessee pay (rounded to the nearest dollar)? $______________________________.
(b)Complete the following schedule of lease amortization for the lessee for the first two years:
(c)Complete the following entries for the lessee: January 1,2014,inception of lease.
December 31,2014,first rental payment and lessee's year-end entries (end of the accounting period).
December 31,2014,accrual by lessee of $4,000 taxes on the building and payment of $800 for repairs on the building.
Rorschach Inkblot Test
A psychological test in which subjects' perceptions of inkblots are recorded and then analyzed using psychological interpretation.
Validity
The extent to which a concept, conclusion, or measurement is well-founded and likely corresponds accurately to the real world.
Reliability
The degree to which an assessment tool produces stable and consistent results over time.
Trait-situation Debate
A discussion in psychology regarding the extent to which human behavior is influenced by intrinsic personality traits versus external situational factors.
Q10: A large stock split should be accounted
Q11: The taxes payable method results in better
Q21: How can a company use CCA to
Q24: JMR Corporation suffered a loss in 2013.As
Q49: Geisler Corp.provided you with the following information
Q56: Under ASPE,forfeitures which occur under a stock-based
Q64: On January 1,2014,BE Company collected a $15,000
Q126: ABC Inc.leased a computer to the Lennox
Q142: Property dividends are dividends that the corporation
Q211: If the title to a leased asset