CASE 2: On January 1, 2020, EF Corp. leased an equipment for 5 years at semi-annual rental of P325,000 payable every June 30 and December 31. The equipment had an estimated useful life of 7 years. EF Corp. has an option to purchase the equipment from the lessor by paying the lessor P200,000 at the lease expiration date. The lessee paid lease bonus amounting to P280,000 and direct lease expense which included installation and commissioning costs amounting to $125,000. The lessor will however reimburse EF Corp. 15% of the direct lease expense as a lease incentive. The annual implicit lease rate on the lease known to both parties at the lease inception was at 10% while the incremental borrowing rate of the EF Corp. was at 12%. The asset had an estimated salvage value of $100,000 after 5 years and P60,000 after 7 years. Requirements: If at lease inception, EF Corp. is reasonably certain to exercise the purchase option: (Use a PV FACTOR rounded off to 4 decimal places) 10. Initial cost of the Right of Use Asset 11. 12. Interest expense on the lease liability for 2020 Carrying value of the Lease Liability as of December 31, 2021

Which action is not considered an act discreditable to the accounting profession? a) Being finally determined by a court of competent jurisdiction to have violated any of the federal antidiscrimination laws. b) Having a bank collect notes received from a client in payment of fees. c) Failing to follow standards and procedures established by governmental agencies in audits of grants by those agencies. d) Negligently permitting another to sign a document containing materially false and misleading information.

AFTER READING THE CODE OF ETHICS FOR PROFESSIONAL ACCOUNTANTS:      IS THERE REALLY A NEED FOR A CODIFIED SET OF ACCEPTABLE ETHICAL BEHAVIOR? yes or no, justify your answer.    GIVE 3 JUSTIFICATIONS AND ELABORATE YOUR ANSWER

You received the latest payslip and income statement from your client. What information would you check to ensure it matches the client disclosures and follow the NCCP Act 2009 obligations?