On January 1, 2020 a lessor leased out an office space for P400,000 payable in advance every January 1. The implicit interest rate is 8%. The cost and fair value of the asset is P1,733,201. The useful life and lease term is 6 years and 5 years, respectively. The lessee has an option to purchase the asset for P200,000 at the end of the lease term and the lessee is reasonably certain that it will exercise this option at commencement date.<\/p>
<\/p>
Question1 : How much is the current portion of the finance lease receivable as of December 31, 2020?<\/p>
Question 2: The interest income to be recognized in 2021 is?<\/p>", "transcribed_text": "", "related_book": { "title": "Entrepreneurial Finance", "isbn": "1305968352, 978-1337635653, 978-1305968356", "edition": "6th edition", "authors": "J. Chris Leach, Ronald W. Melicher", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/1482.jpg", "uri": "\/textbooks\/entrepreneurial-finance-6th-edition-1482", "see_more_uri": "" }, "free_related_book": { "isbn": "B008AUEBSO", "uri": "\/textbooks\/essential-topology-1st-edition-b008auebso-272357", "name": "Essential Topology", "edition": "1st Edition" }, "question_posted": "2024-06-28 05:43:54", "see_more_questions_link": "\/study-help\/questions\/business-human-resource-management-2020-May-22", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/individual-rehabilitation-services-irs-is-a-notforprofit-organization-that-assists", "description": "Individual Rehabilitation Services (IRS) is a not-for-profit organization that assists individuals returning to society following a substance abuse conviction. IRS has been greatly successful in its...", "stars": 3 }, { "url": "\/study-help\/introduction-to-probability-statistics\/644-find-the-normal-approximation-to-p355x-360-for-a-1983287", "description": "6.44 Find the normal approximation to P(355x 360) for a binomial probability distribution with n 400 and p=0.9.", "stars": 3 }, { "url": "\/1-help-dave-prepare-this-report-by-providing-some-information", "description": "1. Help Dave prepare this report by providing some information on the benefits of RFID Tags and GPS systems in the transportation industry. 2. Are there additional technologies that Red Ball could...", "stars": 3 }, { "url": "\/study-help\/questions\/question-8-5-points-in-terms-of-network-9856169", "description": "Question 8 ( 5 points ) In terms of network security, the acronym IDS stands for which of the following? Intrusion Detection System Information Dissemination System Information Destruction System...", "stars": 3 }, { "url": "\/study-help\/questions\/observe-the-captured-packet-answer-the-following-questions-1-the-9122871", "description": "Observe the captured packet, answer the following questions: 1) The packet is sent from server to client or from client to server? Briefly justify your answer. 2) Which protocol is used in this...", "stars": 3 }, { "url": "\/study-help\/questions\/this-week-your-assignment-is-to-create-a-crisis-management-3725417", "description": "This week, your assignment is to create a crisis management plan for either your organization or for Dalton, Walton, and Carlton, Inc. When constructing your plan, think about what needs to be done...", "stars": 3 }, { "url": "\/study-help\/questions\/1-an-altimeter-is-a-device-that-measures-the-height-844764", "description": "1) An altimeter is a device that measures the height of a plane above the ground. It works based on air pressure according to the formula h = 18400log where h is the height above the ground in...", "stars": 3 }, { "url": "\/study-help\/questions\/lets-put-on-our-trainer-hats-and-compose-a-brief-811038", "description": "Lets put on our trainer hats and compose a brief training script on critical concepts in legal and ethical issues in the workplace. Select 1 of the following questions. Make sure you define your...", "stars": 3 }, { "url": "\/study-help\/questions\/consider-the-following-series-i-show-that-the-series-converges-1000855", "description": "Consider the following series (i) Show that the series converges if (a, b), where a = = (ii) For any I in the above interval the sum of the series is 00 (2x+3)\" n=2 2n+1", "stars": 3 }, { "url": "\/study-help\/questions\/1-if-a-generator-costing-300k-is-installed-in-a-3564252", "description": "1. If a generator costing $300k is installed in a factory and the cost of preparing the site is $100k, what would be the QE (qualifying expenditure) for the factory? Korea Manufacturing purchased a...", "stars": 3 } ], "next_back_navigation": { "previous": "\/study-help\/questions\/discuss-the-relationships-among-data-information-and-knowledge-4248743", "next": "\/study-help\/questions\/discuss-modern-manufacturing-practicesandhow-they-affect-product-costinginclude-atleastoneofthe-three-4248745" }, "breadcrumbs": [ { "name": "Study help", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers" }, { "name": "Business", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers\/business" }, { "name": "Accounting", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/business-accounting" }, { "name": "On January 1, 2020 a lessor leased out an office space for", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/on-january-1-2020-a-lessor-leased-out-an-office-4248744" } ], "skill_details": { "skill_id": "9", "skill_name": "Accounting", "parent_id": "1" } } }