8A lessor received a cash rental payment from a lesses at the end of the current period. The assel was leased at the beginning of the current period and was properly recorded as a sales-type InaseWhich journal entry should the lessor use to record the payment?O Credit Cash; Debit Lease Liability: Credit Interest ExpenseO Debit Interest Revenue; Debit Lease Receivable; Credit CashDebit Cash; Credit Interest Revenue; Credit Lease ReceivableDebit Interest Expense; Credit Cash; Credit Lease LiabilityNEXT >BOOKMARK

Lease is one of the arrangement being done between two parties under which one party provides right…

Alessor received a cash rental payment from a lessee at the end of the carent period. The assel was leased at the beginning of the current period and was properly recorded as a sales-type Inase Which journal entry should the lessor use to record the payment? Ⓒ Credit Cash; Debit Lease Liability: Credit Interest Expense O Debit Interest Revenue; Debit Lease Receivable; Credit Cash O Debit Cash; Credit Interest Revenue: Credit Lease Receivable O Debit Interest Expense; Credit Cash; Credit Lease Liability NEXT > BOOKMARK

Alessor received a cash rental payment from a lessee at the end of the carent period. The assel was leased at the beginning of the current period and was properly recorded as a sales-type Inase Which journal entry should the lessor use to record the payment? Ⓒ Credit Cash; Debit Lease Liability: Credit Interest Expense O Debit Interest Revenue; Debit Lease Receivable; Credit Cash O Debit Cash; Credit Interest Revenue: Credit Lease Receivable O Debit Interest Expense; Credit Cash; Credit Lease Liability NEXT > BOOKMARK

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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On the 1.7.2019 XY company received rental revenue in advance from customers of OMR 2400 for two years. in the journal entry, the credit side is: Select one: a. None of These b. Prepaid rent 2400 c. unearned revenue 2400 d. Accrued rent 2400.
2). A landlord records the collection of a tenant's security deposit as a(n): 1. liability 2. prepaid expenses 3. contingent liability 4. contra liability 1). Which of the following statements regarding accounting for leases is true? a. If the lease term is one year or longer, a liability must be recognized. b. leases accounting rule will result in more assets and liabilities being recognized on the balance sheet c. Leasing will likely remain popular because leases do not require a large initial outlay of cash d. All of these are correct e. None of these are correct `
Please Correct answer
Larkspur Leasing Company signs a lease agreement on January 1, 2025, to lease electronic equipment to Crane Company. The term of the non-cancelable lease is 2 years, and payments are required at the end of each year. The following information relates to this agreement. 1. Crane has the option to purchase the equipment for $27,000 upon termination of the lease. It is not reasonably certain that Crane will exercise this option. 2. The equipment has a cost of $330, 000 and fair value of $368,000 to Larkspur Leasing. The useful economic life is 2 years, with a residual value of $27,000. 3. Larkspur Leasing desires to earn a return of 6% on its investment. 4. Collectibility of the payments by Larkspur Leasing is probable. Prepare the journal entries on the books of Larkspur Leasing to record the payments received under the lease and to recognize income for the years 2025 and 2026. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is…
Crane Leasing Company signs an agreement on January 1, 2025, to lease equipment to Cullumber Company. The following information relates to this agreement. 1. 2. 3. 4. 5. The term of the non-cancelable lease is 6 years with no renewal option. The equipment has an estimated economic life of 6 years. The cost of the asset to the lessor is $230,000. The fair value of the asset at January 1, 2025, is $230,000. The asset will revert to the lessor at the end of the lease term, at which time the asset is expected to have a residual value of $24,339, none of which is gu guaranteed. The agreement requires equal annual rental payments, beginning on January 1, 2025. Collectibility of the lease payments by Crane is probable.
emaining Time: 1 hour, 16 minutes, 34 seconds. Question Completion Status: QUESTION 1 The requirements for mora creditoris(default of the creditor) include the following O a. creditor fails to accept proper performance b. the debt must be due O C. the debtor fails to perform on time O d. the delay in accepting performance is due to the fault of the creditor or persons for whose actions he is responsible O e. the delay is due to the fault of the debtor or persons for whose actions he is responsible Of. the debtor must tender proper performance g. b. c and e h. a, b, d and f QUESTION 2 A party to a contract who makes it impossible for performance to take place, commits the following form of breach of contract a. Mora creditoris/default of the creditor b. positive malperformance C. rendering performance impossible/prevention of performance
On January 1, 2024, QuickStream Communications leased telephone equipment from Digium, Incorporated Digium's cash selling price for the equipment is $1,959,867. The lease agreement specifies six annual payments of $450,000 beginning December 31, 2024, and on each December 31 thereafter through 2029. The six-year lease is equal to the estimated useful life of the equipment. The contract specifies that lease payments for each year will increase by the higher of (a) the increase in the Consumer Price Index for the preceding year or (b) 2%. The CPI at the beginning of the lease is 120. Digium routinely leases equipment to other firms. The interest rate in these lease arrangements is 10%. Note: Use tables, Excel, or a financial calculator. ( FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) Required: Prepare the appropriate journal entries for QuickStream to record the lease at its beginning date of January 1, 2024 - - 1 Record the beginning of the lease for QuickStream…
no.7
Why is there no entry in the books of the lessee on Dec. 31, 20x2 given this problem? Please explain.
Qw.7
post closing activities include a. signing of the mortgage documents by the seller b. recording and title policy issuance c. creation of the settlement sheet d. title abstruction
On 1 January 2019, the company paid OMR 4500 cash as rent expenses for two months. Select one: a. Date Particulars Debit Credit (OMR) (OMR) 1 Jan Prepaid Rent 4500 Cash 4500 O b. Date Particulars Debit Credit (OMR) (OMR) 1 Jan Cash Prepaid rent 43500 4500 c. None of these O d. Date Particulars Debit Credit (OMR) (OMR) 1 Jan Rent 4500 Cash 4500