Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Can you please solve the three MCQ questions : 1) When accounting for operating lease under ASC 840, which of the following accounts are charged

Can you please solve the three MCQ questions :

1) When accounting for operating lease under ASC 840, which of the following accounts are charged with the expense of the lesse's income statement ?

a) Rent expense

b)Ammortization expense

c)Depreciation expense

d) Operating expense

2)Executory costs of a lease are treated by the lease as :

a) Capitalized cost of the lease

b)additional interest expense

c)operating expenses

d) Deferred expense

3) when accounting for a capital lease under ASC 840 , depreciation expense is equal to :

a) lease payments

b) principal portions of lease payments

c)Normal depreciation computed on the depreciable base of the asset.

d)Straight line depreciation on the full amount of leased asset

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting Tools for business decision making

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

5th edition

470506954, 471345881, 978-0470506950, 9780471345886, 978-0470477144

More Books

Students also viewed these Accounting questions

Question

1. What causes musculoskeletal pain?

Answered: 1 week ago