For the lessor to account for a lease as a sales-type lease, the lease must meet: Multiple Choice Any one of first five classification criteria and both of the last two additional conditions specified by GAAP regarding accounting for leases. More than one of the five criteria specified by GAAP regarding accounting for leases. All five of the criteria specified by GAAP regarding accounting for leases. Any one of the five criteria specified by GAAP regarding accounting for leases. B Corp. is a lessee and has a debt/equity ratio of 2 to 1. The debt/equity ratio is increased when B records: A Finance Lease yes no An Operating Lease yes a. b. no yes no C. d. no yes Multiple Choice Option A Option B Option C Option D Technoid Inc. sells computer systems. Technoid leases computers to Lone Star Company on January 1, 2021. The manufacturing cost of the computers was $12 million. This noncancelable lease had the following terms: Lease payments: $2,466,754 semiannually, first payment at January 1, 2021; remaining payments at June 30 and December 31 each year through June 30, 2025. Lease term: five years (10 semiannual payments). No residual value; no purchase option. . Economic life of equipment: five years. Implicit interest rate and lessee's incremental borrowing rate: 5% semiannually. Fair value of the computers at January 1, 2021: $20 million. What is the interest revenue that Technoid would report for this lease in its 2021 income statement? Multiple Choice $0. $1,673,820 $876,662 None of these answer choices is correct. On January 1, 2021, Wellburn Corporation leased an asset from Tabitha Company. The asset originally cost Tabitha $350,000. The lease agreement is an operating lease that calls for four annual payments beginning on January 1, 2021, in the amount of $30,000. The other three remaining payments will be made on January 1 of each subsequent year. Which of the following journal entries should Tabitha record on January 1, 2021? Multiple Choice 30,000 Cash Lease receivable 30,000 30,000 Cash Rent revenue 30,000 30,000 Rent expense 30, eee 30,000 Cash Deferred revenue 30,000