Need help with questions 1,2,3,4 & 5

1. Lease accounting by lessee and lessor PC Carpets Lid is a company involved in the manufacture and distribution of quality carpets. On 1 July 20X1, PC Carpets Lid arranged to lease some equipment from Cheapa Finance Co. that has a fair value of $1,000,000. The lease term is 4 years and payments of $250,000 are due in advance on 1 July each year. The guaranteed residual value of the equipment at the end of the lease term is $187,825. The interest rate implicit in the lease is 10% p.a. At the inception of the lease the equipment had an estimated useful life of 5 years and a constant pattern of future economic benefits are expected from the asset. PC Carpets Lid pays the guaranteed residual on 30 June 20X5 and retains the equipment. Required: a) Prepare the lease repayment schedule. bj Record the journal entries of PC Carpets Lid for the years ending 30 June 20X2 and 30 June 20X3 c) Record the journal entries of Cheapa Finance Co. for the years ending 30 June 20X4 and 30 June 20X52. Lease accounting by lessee On 1 July 2014, Lessee Led and Lessor Lid enter into a finance lease agreement with the following terms: lease term is 4 years; estimated economic life of the leased asset is 8 years, zero scrap value; 4 annual rental payments of $46,000; each payment is made one year in arrears; contingent rental payments of $1,000 per year (not included in each $46,000), paid in arrears, while the contingent rent is not paid for year ended 30 June 2015 but is paid for the year ended 30 June 2016; bargain purchase option (which the Lessee intends to exercise) of $5,491 at the end of the lease term; interest rate implicit in the lease is 7% per annum; and . straight-line depreciation of assets is used by both the lessee and lessor. Required: Write the necessary journal entries for the lease in the books of Lessee Lid for the years ended 30 June 2015 to 30 June 2016 only.3. From 2010 final exam (modified) On 1 July 2009, Sydney Doctors Lid leased a CT Scanning machine from Hi Tech Medical Imaging Lid, a company that manufactures, retails and leases CT Scanners. The CT Scanner had cost Hi Tech Medical Imaging $130,000 to make but had a fair value on 1 July 2009 of $150,000. The lease agreement contained the following provisions: Lease term 3 years Annual payment, payable in advance on 1 July each year $50,000 Economic life of the CT Scanner 5 years Estimated residual value at the end of the lease term when CT Scanner is returned to Hi Tech Medical Imaging Ltd $17,603 Residual value guaranteed by Sydney Doctors Lid $10,000 Interest rate implicit in the lease 10% Present value of minimum lease payments $144,288 The lease is non-cancellable Hi-Tech Medical Imaging Lid's solicitor prepared the lease agreement for a fee of $1,500. At the end of the lease term on 30 June 2012, Sydney Doctors Lid returned the CT Scanner to Hi Tech Medical Imaging Lid, who sold the CT Scanner for $14,000. Required: 1. Prepare the lease payment schedule for Sydney Doctors Lid 2. Prepare the journal entries of Sydney Doctors Lid for the lease from 1 July 2009 to 30 June 2012. 3. Explain whether the lease receipt schedule of Hi-Tech Medical Imaging Lid will be identical to the lease payment schedule of Sydney Doctors Lid? Why or why not? Do NOT prepare the lease receipt schedule.Interest rate implicit in the lease 9% The lease is not cancellable. Abbott Lid does not intend to buy the Machinery at the end of the lease term but will return it to Turnbull. Turnbull Lid purchased the Machinery for $32 000 several months before the inception of the lease, and from Turnbull's viewpoint this is a manufacturing-type lease. The table below shows the lease schedule. Lease schedule Year ended Receipts Interest Principal Balance of lease reduction S S $ $ 1 July 2013 34 797 30 June 2014 8 000 30 June 2015 8 000 30 June 2016 8 000 30 June 2017 8 000 30 June 2018 8 000 5 662 40 000 Required: (a) Complete the lease schedule. (b) Prepare the journal entry to record the purchase of the machinery in the books of Turnbull (c) Prepare the journal entry to record the lease transactions for the year ended 30 June 2014 in the books of Turnbull Lid (d) Prepare the journal entry to record the lease transactions for the year ended 30 June 2015 in the books of Abbott Lid (e) Prepare the journal entry to record depreciation expense on the leased asset for the year ended 30 June 2015 in the books of Abbott Lid4. From 2017 Final exam Turnbull Lid has entered into an agreement to lease a machine to Abbott Lid. Details are: Length of lease 5 years Commencement date 1 July 2013 Annual lease payment, payable 30 June each year commencing 30 June 2014 $8 000 Fair value of the Machinery at 1 July 2013 $34 797 Estimated economic life of the Machinery 8 years Estimated residual value of the Machinery at the end of its economic life $2 000 Residual value at the end of the lease term, which is fully guaranteed by $5 662 Abbott Lid5. Ethics case The 2018 Annual Report of Qantas Lid in footnotes 10 and 22 discloses that the company has $1,053 million assets in the form of leased aircraft on its balance sheet and $2,058 million operating lease commitments for aircraft and other assets. The latter are undiscounted amounts, so the PV would be lower. The company's consolidated total assets in 2018 are $18,647 million and its consolidated total liabilities are $14,688 million. Qantas has 137 aircraft, but it is difficult to tell from the Annual Report how many of these are owned outright and how many are leased. Qantas, in line with most other Australian companies, did not apply AASB 16 in 2018 but will be obliged to in its 2019 annual report because AASB 16 is operative from 1 January 2019. Required: (a) What is the likely impact of Qantas applying the new standard on leases in its 2019 annual report? (b) Comment on the ethical issues that may occur as a result of the change, from the perspectives of: (1) Positive Accounting Theory (2) Aristotelian ethics (3) Utilitarian ethics