ts) On January 1, 2023, KSN, Inc. signed a 7 year lease on an asset with a 10 year economic life. The lease doesn't transfer ownership or have a BPO. If the $337,095 lease payments had an initial present value of $2,104,193 and KSN, Inc.'s incremental interest rate is 4%, how much amortization expense will the company recognize on its 2023 income statement from this finance lease? & ^5) O $0 $210,419 O $337,095 O $300,599

ts) On January 1, 2023, KSN, Inc. signed a 7 year lease on an asset with a 10 year economic life. The lease doesn't transfer ownership or have a BPO. If the $337,095 lease payments had an initial present value of $2,104,193 and KSN, Inc.'s incremental interest rate is 4%, how much amortization expense will the company recognize on its 2023 income statement from this finance lease? & ^5) O $0 $210,419 O $337,095 O $300,599

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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33. Subject :- Accounting
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PLEASE ANSWER IN GOOD ACCOUNTING FORM. THANK YOU.
*attached is the problem REQUIRED: What is the lease liability on Dec. 31, 2020? What is the lease liability to be reported as non-current on Dec 31, 2020? What is the interest expense for 2020? What is the depreciation for 2020?
Beamish Incorporated, which produces a single product, has provided the following data for its most recent month of operations: Number of units produced Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expense Fixed costs: Fixed manufacturing overhead Fixed selling and administrative expense Multiple Choice There were no beginning or ending inventories. The absorption costing unit product cost was: $101 per unit $139 per unit $106 per unit 10,900 $ 51 $ 50 $223 per unit $5 $9 $359,700 $817,500
What is the interest expense for the calendar year 2022? (round off answer to the nearest WHOLE NUMBER) On March 31, 2021, SIX Company as lessee signed a ten-year non-cancelable lease for an equipment stipulating annual payments of P375,250. The first payment was made on March 31, 2021 and P375,250 annually on each March 31 for the next nine years. The present value on March 31, 2021 of the ten lease payments over the lease term using the rate implicit in the lease which SIX knows to be 12% was P3,175,500. The March 31, 2021 present value of the lease payments using SIX's incremental borrowing rate of 14% was P2,850,125. Ownership of the property remains with the lessor at expiration of the lease. There is no purchase option. The leased property has an estimated economic life of 12 years.
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Metlock Corporation recordeda right-of-use asset for $268,800 as a result of a finance lease on December 31, 2019. Metlock's incremental borrowing rate is 11%, and the implicit rate of the lessor was not known at the commencement of the lease. Metlock made the first lease payment of $51,390 on on December 31, 2019. The lease requires 7 annual payments. The equipment has a useful life of 7 years with no residual value. Prepare Metlock's December 31, 2020, entries. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places e.g. 5,275.) Date Account Titles and Explanation Debit Credit December 31, 2020 (To record interest expense) December 31, 2020 (To record amortization of the right-of-use asset)
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