Question: Jana Kingston Corporation enters into a lease on January 1 2011
Jana Kingston Corporation enters into a lease on January 1, 2011, that does not transfer ownership or contain a bargain-purchase option. It covers 3 years of the equipment’s 8-year useful life, and the present value of the minimum lease payments is less than 80% of the fair value of the asset leased. Prepare Jana Kingston’s journal entry to record its January 1, 2011, annual lease payment of €35,000.
Answer to relevant QuestionsAssume that Lenovo (CHN) leased equipment that was carried at a cost of $150,000 to Sharon Swander Company. The term of the lease is 6 years beginning January 1, 2011, with equal rental payments of $30,044 at the beginning ...Assume that on January 1, 2011, Stora Enso (FIN) signs a 10-year non-cancelable lease agreement to lease a storage building from Balesteros Storage Company. The following information pertains to this lease agreement.1. The ...The following facts pertain to a non-cancelable lease agreement between Faldo Leasing Company and Shigeki Company, a lessee.Inception date January 1, 2010Annual lease payment due at the beginning ofeach year, ...Identify and describe the approach the IASB requires for reporting changes in accounting policies.At January 1, 2010, Cheng Company reported retained earnings of ¥20,000,000. In 2010, Cheng discovered that 2009 depreciation expense was understated by ¥4,000,000. In 2010, net income was ¥9,000,000 and dividends ...
Post your question