Explain in your own words why in a finance lease the lessor shows in the statement of

Question:

Explain in your own words why in a finance lease the lessor shows in the statement of financial position a receivable rather than the unamortised amount of the initial investment in the physical asset being leased out.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For answer-question

Financial Accounting And Reporting

ISBN: 9781292255996

19th Edition

Authors: Barry Elliott, Jamie Elliott

See More Books

Question Posted: Nov 04, 2022 01:26 AM

See More Questions

Explain in your own words why it is important to keep track of what information is known and what events are still uncertain for each decision.
Explain in your own words why it is important to consider the ranges of the consequences in determining a trade-off weight.
Explain in your own words why swing weights produce meaningful weights for evaluating alternatives.
How are the square numbers embedded in Pascals triangle?
Find the variance of the sample standard deviation, Assuming that the Xi are IID Gaussian random variables with mean and variance 2. 73 m=1
On September 1, 2024, a company decides to lease office space in a building. The buildings owner offers the company the following options, with the first monthly payment beginning September 30, 2024:...
Almetals, Inc., a Michigan company, entered into a contract with the German firm Wickeder Westfalenstahl regarding the purchase of clad metal, a specialty metal used in a variety of industries but...
Alvamar Company has the following data for the weekly payroll ending January 31 Employees are paid 112 times the regular hourly rate for all hours worked in excess of 40 hours per week. FICA taxes...
Consider the following Closed-loop block diagram of a system: R(s) K s + 5 15 Y(s) s+ p Consider the following parameter values: p = 2 and K-10. a. Obtain the closed-loop transfer function for the...
What are some factual matters that would be relevant for consequentialist arguments regarding sexual behavior?
Discuss the effect on the operating profit and EBITDA when the current operating lease expense is required to be replaced by depreciation of the lease asset and an interest expense on the lease...
Companies sometimes get special prices from suppliers if they undertake to purchase specified commodities from the supplier over a designated future period. These supply arrangements do not have to...
In the following, state whether the data adequately addresses the (implied) statistical question. a) Have new bad weather protocols effectively reduced flight delay times at the John F. Kennedy (JFK)...
Most companies use traditional capital budgeting techniques, such as payback period and net present value. Why do you think this is the case? How would you justify the use of real option methodology...
What is meant by underpricing? Why are most IPOs underpriced? Drawing on the academic evidence, explain the main theories behind this phenomenon. Is this is a sign of market inefficiency? Explain.
What are the Greeks? Why are they important to a corporation?
Your company owns a vacant plot in a suburban area. What is the advantage of waiting to develop the plot?
Show how a share of equity can be viewed as an option. Why is this perspective helpful?
Let {Ai, i ( I} be an uncountable collection of pairwise disjoint event in the probability space ((, A, P). Then show that P(Ai) > 0 for countable many Ais only.
Wilsons Auto Repair ended 2011 with Accounts Receivable of $85,000 and a credit balance in Allowance for Uncollectible Accounts balance of $11,000. During 2012, Wilsons Auto Repair had the following...
The statements of financial position of Maytix as at 31 October 2005 and 31 October 2004 are as follows: The statement of comprehensive income of Maytix for the year ended 31 October 2005 is as...
Helvatia GmbH is a Swiss company which is a wholly owned subsidiary of Corolli, a UK company. Helvatia GmbH was formed on 1 November 2005 to purchase and manage a property in ZÃ¼rich in...
Belt plc and Braces plc were in the same industry. The following information appeared in their 20X9 accounts: (a) Calculate the following ratios for each company and show the numerical relationship...
Describe succinctly what the opportunity is and make a compelling case for your business including these points: Why have you chosen the entry point to start your venture? What is a compelling need...
Recently, Google has encountered issues with employees not trusting the transparency of upper management, and many Googlers have left. Explain how the people analytics team might address this issue.
Please give and define three principles when producing a new product. Please give an example of each.

Explain in your own words why in a finance lease the lessor shows in the statement of

Question:

Step by Step Answer:

The lessor in a finance lease shows a receivable in the statement of financial position rather t...View the full answer

Financial Accounting And Reporting

Students also viewed these Business questions