A finance lease agreement calls for quarterly lease payments of $5,328 over a 10 -year lease term, with the first payment on July 1, 2022, the beginning of the lease. The annual interest rate is 6%. Both the present value of the lease payments and the cost of the asset to the lessor are $150,000. Calculate total cash paid by lessee through January 1, 2023.
Answers
Total cash paid by lessee is $16,984.
The quarterly lease payments for the finance lease agreement are $5,328, and the first payment is due on July 1, 2022. The lease term is ten years and has an annual interest rate of 6%.
Given that both the present value of the lease payments and the cost of the asset to the lessor are $150,000, we need to calculate the total cash paid by the lessee through January 1, 2023.
Interest rate per quarter is given as: 6%/4 = 1.5%.The total number of payments for 10 years will be:
10 years × 4 quarters per year = 40 quarters.The quarterly payment is $5,328, and therefore, the annual payment will be:4 payments per year × $5,328 = $21,312.
So, the present value of the lease payments would be calculated using the following formula: PV = C × [1 - (1 + r)-n]/rwhere:PV = present valueC = annual paymentr = interest rate per periodn = total number of paymentsWe know that the present value of the lease payments is $150,000.
Therefore,$150,000 = $21,312 × [1 - (1 + r)-40]/rSolving for r, we get:r = 1.36%.Now, we can calculate the payment due on January 1, 2023. Since the first payment is due on July 1, 2022, there will be two payments due before January 1, 2023. So, the payment due on January 1, 2023, will be the third quarterly payment.
Using the formula for the present value of an annuity, we can calculate the quarterly payment:
PV = C × [1 - (1 + r)-n]/r
where:PV = present valueC = quarterly paymentr = interest rate per period = total number of payments
We know that the present value of the lease payments is $150,000.
Therefore,$150,000 = C × [1 - (1 + 1.5%)-40]/1.5%Solving for C, we get:C = $5,328.The quarterly payment is $5,328. Thus, the total cash paid by lessee through January 1, 2023 will be:
Total cash paid by lessee = 2 × $5,328 + $5,328Total cash paid by lessee = $16,984.
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Related Questions
Which is NOT a good reason to establish a positive credit history?
Answers
Answer:
c
Explanation:
would be the answer I believe
A good reason to build a strong credit history is not to be able to borrow money to buy a house. Option (C) is hence the appropriate response.
What is meant by a credit history?A borrower's timely loan repayment is documented by their credit history. A credit report is a history of a borrower's credit from several sources, including banks, credit card firms, collection agencies, and governments.
A mathematical program that analyzes a borrower's credit record and other sources of information to forecast future delinquency produces the borrower's credit score.
A credit bureau receives a customer's information when they apply for credit from a bank, credit card firm, or retailer in many different nations.
The credit bureau compares information in its files that it has retained with the name, address, and other identifying information on the credit applicant. Lenders then make decisions based on the records they've obtained.
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what are the two ways a company can translate its low-cost advantage over rivals into attractive profit performance?
Answers
2. Revamping the overall value chain to eliminate or bypass cost-producing activities.
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Name the choreographic element that encourages dancers to rely on musical cues, visual connections, and emotional phrasing.
Answers
The choreographic element that encourages dancers to rely on musical cues, visual connections, and emotional phrasing includes the time, energy, and space
What is the meaning of Choreography?In art, a choreography means the way in which an idea is expressed physically through dance. When developing this concept, the users usually relies on important principles of organization to ensure that the idea takes a clear, appropriate, and aesthetically pleasing form.
These are principles that comprises the basic ingredients for the dancers' movements and patterns and help the choreographer utilize space, express intention and the music, and organize the dancers.
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why is it important to understand which insurance network you are in
Answers
Answer:
Because different insurance networks provide seperate benefits. For example a health insurance provider would give you injury-related insurances etc.
On the job cost sheet and work in process accounts, the ______ manufacturing overhead is recorded.
Answers
On the job cost sheet and work in process accounts, the allocated manufacturing overhead is recorded.
Manufacturing overhead refers to the indirect costs incurred in the production process that cannot be directly traced to specific units of output. These costs include expenses like factory utilities, supervision, depreciation, and maintenance. Since these costs are not easily attributable to individual products or jobs, they are allocated or assigned to different jobs based on a predetermined allocation rate.
The allocated manufacturing overhead is then recorded on the job cost sheet and work-in-process accounts to track the total cost of each job and the ongoing costs in the production process. This helps businesses to accurately determine the cost of production for each job and monitor the progress and efficiency of the manufacturing process. The recorded manufacturing overhead also allows for the calculation of the actual and applied overhead, which can be useful in evaluating the cost performance of the production activities.
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The 'applied' manufacturing overhead is recorded on the job cost sheet and work in process accounts. This is the overhead costs that are allocated to specific jobs or batches of goods based on a predetermined rate.
Explanation:On the job cost sheet and work in process accounts, the applied manufacturing overhead is recorded. This refers to the overhead costs that are allocated to a specific job or batch of goods. At the beginning of the accounting period, the company estimates manufacturing overhead. As the year progresses, it applies manufacturing overhead to jobs based on a predetermined overhead rate usually determined by machine hours or labor hours. At the end of the year, the company then has to reconcile the difference between the actual and applied overhead.
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Owens Distributors is a retail business. The following sales, returns, and cash receipts occurred during March 20--. There is an 8% sales tax. Beginning general ledger account balances were Cash, $9,771; and Accounts Receivable, $1069. 0. Beginning customer account balances were Thompson Group, $1069. 0
Answers
The total sales for Owens Distributors in March 20-- were $11,870 ($11,200 + $670 sales tax). The total returns were $74 ($30 + $44) and the total cash receipts were $11,200 + $3,160 + $4,200 + $2,400 = $21,960.
The ending balance for Accounts Receivable was $0 as all customers paid off their balances during the month. The ending balance for Cash was $21,960 - $11,870 = $10,090. Sale No. 33C had a net amount of $1,770 ($1,800 sale - $30 return), Sale No. 33D had a net amount of $2,107.20 ($2,240 sale - $132.80 sales tax), Sale No. 33E had a net amount of $1,166 ($1,210 sale - $44 return), and Sale No. 33F had a net amount of $2,469.20 ($2,620 sale - $150.80 sales tax).
Owens Distributors should continue to monitor their sales, returns, and cash receipts to ensure accurate record-keeping and to identify areas for improvement in their business operations.
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A product's price will increase the most if:
Answers
Answer:
Demand is high and if the manufacturing prices increase
A new business has total sales of $14,000, applied $1,350 in merchandise discounts, and had returns of $234. Calculate the business's total net sales.
Answers
Answer:
$12,416
Explanation:
Applied merchandise discounts mean discounts issued.
The net sales will be total sales minus merchandise discounts applied minus returns.
Net sales = total sales - ( discounts + returns)
Net sales = $14,000 - ( $1,350 + $234)
Net sales = $14,000 - $1,584
Net sales = $12,416
The number of developers has increased from 7 to 14. Now the Daily Scrums do not fit in 15 minutes. What's the best response to this problem?
Answers
Answer:
Explanation:When the size of the team increases, it's common for the Daily Scrum meetings to take longer than 15 minutes. In this situation, here are a few suggestions to address the problem:
Stick to the time-box: One of the goals of the Daily Scrum is to keep the team focused and aligned, and it should not take more than 15 minutes to achieve that. As a Scrum Master, you should encourage the team to stick to the time-box and find ways to make the meeting more efficient.
Split the team: If the team is too large to fit in a single Daily Scrum, consider splitting it into smaller groups. For example, you can divide the team based on their expertise or the feature they're working on. Each group can have their own Daily Scrum and then report the status to the larger group.
Adjust the format: Another option is to adjust the format of the Daily Scrum to make it more efficient. For example, you can ask each team member to provide a written update in advance, so the meeting can focus on addressing blockers or discussing the most critical items.
Schedule additional meetings: If the team is still struggling to fit everything into a 15-minute meeting, consider scheduling additional meetings to address specific topics. For example, you can have a separate meeting to discuss technical issues or a backlog refinement session to prioritize the work.
Ultimately, the best response will depend on the specific needs and circumstances of the team. As a Scrum Master, you should work with the team to find the most efficient and effective way to conduct the Daily Scrum meetings while keeping everyone aligned and focused on the sprint goals.
in the short run a pure monopolist will charge the highest price the market will bear for its product. group of answer choices true false
Answers
It is untrue that, in the short term, a complete monopoly will set its product's price at the maximum level that the market will accept.
In the near term, a pure monopolist will set its product's price as high as the market will bear. If the product price is less than the lowest attainable average total cost, a competing firm will always decide to go out of business in the short term.
A single vendor in a market or industry with substantial entry barriers, such as high beginning costs, and no competitors is said to have a pure monopoly.
A monopolist business cannot change all of its factors of production in the near term because its cost curves resemble those of a firm engaged in perfect competition.
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please state briefly the reasons why you think you are an outstanding candidate for this job
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I believe I am an outstanding candidate for this job for several reasons.
What are the reasons?Firstly, my relevant experience in the field provides a strong foundation for success.
Additionally, my exceptional communication skills allow me to effectively collaborate with team members and clients. Furthermore, my adaptability and problem-solving abilities enable me to tackle challenges and find innovative solutions.
Lastly, my strong work ethic and dedication to achieving results demonstrate my commitment to meeting the company's goals.
Overall, these qualities make me a valuable asset to the team and ensure my ability to contribute significantly to the success of the organization.
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Why is career and technical education supported by the government?
Answers
Answer:
it is supported by the government because in order for you to pay taxes you need a job and when you have a job you get you payed and you use the money to pay for the taxed. really it is just a big circle
Steve believes that his wife's cell phone battery does not last as long as his cell phone battery, On seven different occasions, he measured the length of time his cell phone battery lasted and calculated that the mean was 16.4 hours with a standard deviation of 8.2 hours. He measured the length of time his wife's cell phone battery lasted on twelve different occasions and calculated a mean of 22.4 hours with a standard deviation of 7.6 hours. Assume that the population variances are the same. Let Population 1 be the battery life of Steve's cell phone and Population 2 be the battery life of his wife's cell phone Step 1 of 2: Construct a 95% confidence interval for the true difference in mean battery life between 5 teve's celf phone and his wife's. Round the endpoints of the interval to one decimal place, if necessary. Lower Endpoint = ____
Upper Endpoint = ____
Step 2 of 2: Interpret the confidence interval obtained in Step 1. a. Since the confidence interval does not contain zero, the data do not provide evidence that the population means are unequal at a 95 of confidence level. b. Since the confidence interval contains zero, the data do not provide evidence that the population means are unequal at a 95% confidence level. c. We are 95% confident that the mean battery ife of Steve's cell phone is between 1.8 hours and 13.8 hours shorter than the mean battery life of his wife's cell phone. d. We are 95% confldent that the mean battery life of Steve's cell phone is between 1.8 hours and 13.8 hours longer than the mean battery Nfe of his wite's cell phore.
Answers
By constructing a 95% confidence interval for the true difference in mean battery life between Steve's cell phone and his wife's, we can assess the evidence regarding the equality of the population means. The lower and upper endpoints of the interval need to be calculated to interpret the results correctly.
Step 1: To construct a 95% confidence interval, we can use the formula: Mean difference ± (Critical value * Standard error). The critical value for a 95% confidence level is typically obtained from a t-distribution table or statistical software. The standard error can be calculated as the square root of [(Standard deviation1^2/n1) + (Standard deviation2^2/n2)], where n1 and n2 are the sample sizes for Steve's cell phone and his wife's cell phone, respectively.
Step 2: By calculating the lower and upper endpoints of the confidence interval and rounding them to one decimal place, we can interpret the interval. It is crucial to understand that the confidence interval estimates the range within which the true difference in mean battery life between the two cell phones is likely to fall.
In this case, the correct interpretation would be:
c. We are 95% confident that the mean battery life of Steve's cell phone is between 1.8 hours and 13.8 hours shorter than the mean battery life of his wife's cell phone.
This interpretation is based on the calculated confidence interval, which provides a plausible range for the true difference in mean battery life. Since the interval does not contain zero, it indicates that there is evidence of a significant difference between the mean battery life of Steve's cell phone and his wife's at a 95% confidence level. The range of 1.8 to 13.8 hours suggests that Steve's cell phone battery tends to last significantly less than his wife's.
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What are customer needs?
Answers
Answer:
A customer need is a need that motivates a customer to purchase a product or service.
What type of advertising aims to spread a particular social message or to promote public welfare?
A.
corporate advertising
B.
retail advertising
C.
product advertising
D.
public service advertising
Answers
Answer:
D, Public service advertisements
Ian invested $90,000 in an account paying an interest rate of 2. 6% compounded quarterly. Assuming no deposits or withdrawals are made, how much money, to the nearest dollar, would be in the account after 7 years?.
Answers
Answer:
$94176
Explanation:
Amount in 7 years = $90000 * (1 + 0.026/4)^7
Amount in 7 years = $94176
If the internal rate of return exceeds the discount rate, then the net present value of a project is:
A) positive
B) negative
C) zero
D) one
Answers
If the internal rate of return exceeds the discount rate, then the net present value of a project is: A) positive.
What is IRR?In Project management, IRR is an abbreviation for internal rate of return and it can be defined as a metric that is typically used in financial analysis in order to estimate the profitability of all potential projects or investments for a business organization or investor.
This ultimately implies that, internal rate of return (IRR) has the ability to discount the cash in-flows and out-flows of a project to a sum that would be equal to zero (0).
In this context, we can reasonably infer and logically deduce that the net present value (NPV) of a project would be positive when the internal rate of return (IRR) exceeds the discount rate i.e the internal rate of return (IRR) is greater than the discount rate of the project.
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What is a description of the prime rate?
Answers
Answer: Prime rate is the interest rate that banks charge their preferred customers, or those with the highest credit ratings.
please i need help with this !!
Answers
Answer:
Save
Measure
Notes
Services
Money
Barter
Swapped
Forms
Which of the following accounts would normally have a credit balance and appear in the balance sheet?
A. Dividends.
B. Salary expense.
C. Revenue.
D. Uneamed revenue.
E. Accounts receivable.
Answers
The account that contains a normal credit balance & the same appears in the balance sheet is unearned revenue.
The following information is relevant:
The dividend contains the normal debit balance and the same is to be shown under the stockholder equity statement.The salary expense is to be shown under the income statement and contains a normal debit balance.The revenue is to be shown under the income statement & contains a normal credit balance.Unearned revenue is a liability account and contains a normal credit balance. Also, it is to be shown under the balance sheet.The account receivable is an asset account & it contains a normal debit balance. Also, it is to be shown under the balance sheet.Therefore we can conclude that the account that contains a normal credit balance & the same appears in the balance sheet is unearned revenue.
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How do any of these life decision problems
Answers
Answer:
baseially you are putting in a person is affecting your life. you come up with a solution. write a postive way to solve it then right a negavitve way to solve it. then write when you are going to solve your problem. then the steps that are needed.
Joann wants to insert page numbers at the bottom of the pages of her document using the Field option in Quick Parts. Which options in the Field dialog box does she click to accomplish this task? Check all that apply. Footer under the All category Header under the Page category Page under the Numbering category PageNum under the Document Automation category NumPages under the Document Information category
Answers
Answer:
C and E
Explanation:
Edge 2020
Answer: C. Page under the Numbering category
E. NumPages under the Document Information category
Explanation:
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managing diversity is more than hiring women and minorities; it is complex and involves which of the following?Valuing employee differences to build an effective organizationRecognizing the characteristics common to specific groups of employeesManaging a culturally diverse workforce
Answers
Managing a culturally diverse workforce is one of the elements if the aim is to manage diversity.
What is culturally diverse workforce?
Organizations will need to reassess existing management practises and adopt fresh, innovative methods of managing people as a result of demographic changes (women in the workforce, organisational reorganisation, and equal opportunity legislation). Performance at work and customer service will improve as a result of positive adjustments.
Diversity is advantageous for both employees and employers. Even though coworkers depend on one another, respecting individual variations can boost productivity. A culturally diverse workforce can boost marketing opportunities, hiring, creativity, and company reputation while lowering the risk of lawsuits.
Diversity is essential to an organization's success in an era where adaptability and inventiveness are the keys to competition. Also, the repercussions (time and financial loss) should not be disregarded.
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As you have seen, there are advantages and disadvantages of using credit. Chapter 10 in your online textbook takes this understanding a bit further and outlines what a person should do should they find themselves in financial trouble. Review Chapter 10. Reflect on types of financial problems and ways to correct them.
After the successful completion of this assignment, you will be able to say:
I can create a plan for solving credit problems.
You are allowed only two completed attempts for this lesson. This activity will count for 10% of your grade in this unit.
Instructions
Describe two ways in which someone could solve their financial issues. Make sure to use your resources to support your answer.
Submission
Please submit your answers into the text box.
Answers
Two ways with which someone could solve their financial issues include:
Create a budget and stick to itSeek professional financial adviceHow can we solve financial issues ?One effective way to solve financial issues is to create a budget that tracks income and expenses and allows for careful planning and management of money. A budget can help identify areas of overspending or wastage, and allow for adjustments to be made to improve financial stability.
Another way to solve financial issues is to seek the advice and guidance of a professional financial advisor or counselor. A financial advisor can provide expert advice on a wide range of financial issues, such as managing debt, investing, retirement planning, and estate planning.
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What will the real value of $100 be in 7 years if you hide the money under your mattress and the inflation rate is 2%
Answers
The real value of the money after 7 years, if the money is hidden under the mattress and the inflation rate, is $ 86. 81.
How to find the real value ?If the inflation rate is 2%, the value of money is expected to decrease by 2% per year.
In 7 years therefore, you can use the future value formula to find the real value of the money to be :
= Value today x ( 1 - rate ) ^ number of years
This gives:
= 100 x ( 1 - 2 % ) ⁷
= $ 86. 81
This means that if you hide $100 under your mattress today, in 7 years, its real value will be $86.81 in terms of what it can buy.
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According to the speaker, what are the three traditional Gs of growth?
Answers
Answer:
Consistent, Competitive & Profitable.
Explanation:
correct on edge
The three traditional Gs of growth are Growth, Gratitude, and Giving
What is tradition?The standard of a piece of information being discussed is indicated by tradition. For instance, "Homer is said to have been born on the island of Chios, although many other places have historically claimed him as their own." It may never be possible to confirm or deny this custom.
Growth: In other words, if you develop your workforce, your business will do the same. Don't you make an effort to hire employees that are smarter than you Give them an opportunity to succeed while guiding them while they do so.tradition
Gratitude can take many different forms. Your customers conducting business with you, internal promotions, and improving someone. Investing in a better world and receiving assistance in whatever form are both aspects of gratitude.
Giving: is a straightforward conclusion; you give it your all without holding back. Giving is recognizing the need and taking action to provide assistance in any form that is practical. Giving ultimately causes the business world to whirl. If you do it, other people will too. That's how easy it is.
Therefore, Traditional Gs of growth are Growth, Gratitude, and Giving
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He true economic yield produced by an asset is summarized by the asset's: multiple choice internal rate of return. future value. non-discounted cash flows.
Answers
The true economic yield produced by an asset exists summarized by the asset's Internal rate of return.
What is internal rate of return?The internal rate of return (IRR), a statistic used in financial research, is used to determine the profitability of potential investments. IRR is a discount rate that brings all cash flows' net present values (NPV) to zero in a discounted cash flow analysis. Using the internal rate of return is one method of calculating the rate of return on an investment.The formula is "internal" because it does not account for external factors like the risk-free rate, inflation, the cost of capital, or financial risk. Applications of the method can be either ex-post or ex-ante.Therefore, an asset's internal rate of return serves as a summary of the underlying economic yield it produces.To learn more about Internal rate of return refer to:
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An important role of the Public Company Accounting Oversight Board is to oversee the
A. issuance of statements by the Financial Accounting Standards Board.
B. preparation and grading of the Uniform CPA Examination.
C. peer review of member firms of the Private Companies Practice Section.
D. regulation of firms that audit public entities
Answers
The Public Company Accounting Oversight Board (PCAOB) is a regulatory organization that was established by the Sarbanes-Oxley Act of 2002 in response to the financial scandals of the early 2000s. Its primary role is to oversee and regulate the auditing of public companies in order to protect the interests of investors and promote transparency.
The PCAOB sets auditing standards, conducts inspections of accounting firms, and takes disciplinary action when necessary. Therefore, the most appropriate answer is D, which describes the PCAOB's role in regulating firms that audit public entities. An important role of the Public Company Accounting Oversight Board (PCAOB) is to oversee the:
D. regulation of firms that audit public entities.
The PCAOB is responsible for the regulation and inspection of audit firms that audit public companies. This includes establishing auditing and quality control standards, conducting inspections of registered firms, and enforcing compliance with rules and regulations.
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Why is a dress code important for demonstrating professionalism?
A. Many in tech fields refuse to wear suits or professional clothing.
B. Many become defensive when they feel you're over-dressed.
C. Most will make snap judgments based on first impressions.
D. Many feel that those who dress poorly are too particular.
Answers
Answer:
C.
Explanation:
Most will make snap judgments based on first impressions.
(If you go to work in a crop top or in a speedo, then people will judge you).
Answer:
C. Most will make snap judgments based on first impressions.
Explanation:
On January 1, the first day of the fiscal year, a company issues a $1,450,000, 5%, five-year bond that pays semiannual interest of $36,250 ($1,450,000 × 5% × ½), receiving cash of $1,408,720.
Answers
Complete Question:
On January 1, the first day of the fiscal year, a company issues a $1,450,000, 5%, five-year bond that pays semiannual interest of $36,250 ($1,450,000 × 5% × ½), receiving cash of $1,408,720
Journalize the first interest payment and the amortization of the related bond discount using the Straight line method
Answer:
Kindly check Explanation
Explanation:
Given the following :
Face value of bond issued = $1,450,000
Cash received on Issuance = $1,408,720
Number of Interest payment on bond = 5 × 2 = 10(semiannual)
Therefore, discount on bond :
$(1,450,000 - 1,408,720) = $41,280
Spreading or amortizing diacou t on bond over the bond duration (use te straight line method)
Discount / period
$41,280 / 10 = $4,128
Interest expense a/c Dr $40,378
To discount on bond payable a/c Cr $4128
To cash a/c $36,250