Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

Question

On January 1, 2013, R Corporation leased equipment to Hela Company. The lease term is 9 years. The first payment of $452,000 was made on January 1, 2013. Remaining payments are made on December 31 each year, beginning with December 31, 2013. The equipment cost R Corporation $2,457,400. The present value of the minimum lease payments is $2,697,400. The lease is appropriately classified as a sales-type lease. Assuming the interest rate for this lease is 12%, what will be the balance reported as a liability by Hela in the December 31, 2014, balance sheet?

Answer 1

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 4, Problem 4.9CP

1.

To determine

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

2.

To determine

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

3.

To determine

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

4.

To determine

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

5(a)

To determine

Evaluate the region’s performance by assuming revenue target is based on cash sales

5(b)

To determine

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

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On January 1, 2013, R Corporation leased equipment to Hela Company. The lease term is 9 years. The first payment of $452,000 was made on January 1, 2013. Remaining payments are made on December 31 each year, beginning with December 31, 2013. The equipment cost R Corporation $2,457,400. The present value of the minimum lease payments is $2,697,400. The lease is appropriately classified as a sales-type lease. Assuming the interest rate for this lease is 12%, what will be the balance reported as a liability by Hela in the December 31, 2014, balance sheet?

What is the cost of goods manufactured for the year?

Please give me correct answer this general accounting question

Answer 2

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 4, Problem 4.9CP

1.

To determine

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

2.

To determine

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

3.

To determine

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

4.

To determine

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

5(a)

To determine

Evaluate the region’s performance by assuming revenue target is based on cash sales

5(b)

To determine

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

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Answer 3

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 4, Problem 4.9CP

1.

To determine

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

2.

To determine

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

3.

To determine

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

4.

To determine

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

5(a)

To determine

Evaluate the region’s performance by assuming revenue target is based on cash sales

5(b)

To determine

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

Expert Solution & Answer

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Answer 4

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 4, Problem 4.9CP

1.

To determine

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

2.

To determine

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

3.

To determine

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

4.

To determine

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

5(a)

To determine

Evaluate the region’s performance by assuming revenue target is based on cash sales

5(b)

To determine

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

Expert Solution & Answer

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Answer 5

Chapter 4, Problem 4.9CP

1.

To determine

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

2.

To determine

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

3.

To determine

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

4.

To determine

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

5(a)

To determine

Evaluate the region’s performance by assuming revenue target is based on cash sales

5(b)

To determine

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

Answer 6

Chapter 4, Problem 4.9CP

1.

To determine

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

Answer 7

Chapter 4, Problem 4.9CP

1.

To determine

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

Answer 8

2.

To determine

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

Answer 9

2.

To determine

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

Answer 10

3.

To determine

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

Answer 11

3.

To determine

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

Answer 12

4.

To determine

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

Answer 13

4.

To determine

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

Answer 14

5(a)

To determine

Evaluate the region’s performance by assuming revenue target is based on cash sales

Answer 15

5(a)

To determine

Evaluate the region’s performance by assuming revenue target is based on cash sales

Answer 16

5(b)

To determine

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

Answer 17

5(b)

To determine

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

Answer 18

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Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

Solution Summary: The author identifies the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

Identify the amount that should be reported as cash from operations on the statement of cash flows for the year ended March 31, 2018.

Identify the amount that should be reported on the income statement for subscriptions revenue for the year ended March 31, 2018.

Identify the amount that should be reported on the March 31, 2018, balance sheet for unearned subscriptions revenue.

Prepare the adjusting entry at March 31, 2018 by assuming that the subscriptions received on September 1, 2017, were recorded for the full amount in unearned subscriptions revenue.

Evaluate the region’s performance by assuming revenue target is based on cash sales

Evaluate the region’s performance by assuming revenue target is based on accrual accounting.

Chapter 4 Solutions