...CHAPTER 21 For a capital lease, the FASB has identified four criteria. 1. Lease transfers ownership of the property to the lessee. 2. Lease contains a bargain-purchase option. 3. Lease term is equal to 75 percent or more of the estimated economic life of the leased property. 4. The present value of the minimum lease payments (excluding executory costs) equals or exceeds 90 percent of the fair value of the leased property. **** Leases that DO NOT meet any of the four criteria are accounted for as Operating Leases. Capitalization Criteria Transfer of Ownership Test Not controversial and easily implemented. Bargain-Purchase Option Test At the inception of the lease, the difference between the option price and the expected fair market value must be large enough to make exercise of the option reasonably assured. Economic Life Test (75% Test) Lease term is generally considered to be the fixed, noncancelable term of the lease. Bargain-renewal option can extend this period. At the inception of the lease, the difference between the renewal rental and the expected fair rental must be great enough to make exercise of the option to renew reasonably assured. Recovery of Investment Test (90% Test) Minimum Lease Payments: Minimum rental payment Guaranteed residual value Penalty for failure to renew or extend the lease Bargain-purchase option Executory Costs: Insurance Maintenance Taxes Exclude from PV of Minimum Lease Payment Calculation ...
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...CHAPTER 21 Accounting for Leases ASSIGNMENT CLASSIFICATION TABLE (BY TOPIC) | | |Brief Exercises | | | Concepts for | |Topics |Questions | |Exercises |Problems |Analysis | |*1. Rationale for leasing. |1, 2, 4 | | | |1, 2 | |*2. Lessees; classification |3, 5, 7, |1, 2, 3, |1, 2, 3, |1, 2, 3, 4, |1, 2, 3, | |of leases; accounting by lessees. |8, 14 |4, 5 |5, 7, 8, 11, 12, |6, 7, 8, 9, 11, 12,|4, 5, 6 | | | | |13, 14 |14, | | | | | | |15, 16 | | |*3. Disclosure of leases. |19 | | |2, 4, 5, |2, 3, 5 | | | | | |7, 8 | | |*4. Lessors; classification ...
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...Samantha Kozar Chapter 21 Summary ACCT 305-001 Spring 2013 The Leasing Environment Most companies and businesses today lease several different types of things especially businesses in the agriculture and construction sectors. A lease is a contractual agreement between two people; a lessor and a lessee. A lessor is one who owns the property, while a lessee is given rights to use their property for a time period. Lessors come in different types of categories such as banks, captive leasing companies and independents. The largest of the lessors are banks. They have low-cost funds and are more aggressive in the market. This allows them the advantage of being able to purchase cheaper assets than their competitors. Captive Leasing Companies are firms whose purpose is to perform leasing operations for a different parent company. They have an advantage over banks. This advantage is that they have a point of sale in finding leasing patrons allowing them to quickly form a lease arrangement. Their main focus is on their company’s products. The last type of lessor is independents. They do not have advantages like banks and captive leasing companies. Over the past years their market shares have dropped because of banks being more aggressive. They do not have the advantages like the other two lessor categories. They’re good at developing innovative contracts for leases. They work with companies that do not have captive finance companies to handle their leases for them. They...
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...1. Classify each of the following items as a final good or service or an intermediate good or service and identify which is a component of consumption expenditure, investment, or government expenditure on goods and services: ANSWER: Airline ticket bought by a student - Intermediate good, consumption expenditure New airplanes bought by Southwest Airlines - Final good, investment. Cheese bought by Domino's - Intermediate good, consumption expenditure The purchase of a new iPhone for the vice president - Final good, government expenditure on goods and services New house bought by Bill Gates - Final good, investment. 2. Classify each of the following items as a final good or service or an intermediate good or service and identify which is a component of consumption expenditure, investment, or government expenditure on goods and services: * Banking services bought by a student. * New cars bought by Hertz, the car rental firm. * Newsprint bought by USA Today . * The purchase of a new limo for the president. * New house bought by Al Gore. ANSWER: The student’s banking service is a final service and part of consumption expenditure. Hertz’s new cars are additions to capital, so they are part of investment and final goods. Newsprint is a component of the newspaper, so it is an immediate good. The purchase of a new aircraft for the Vice-president is a final good and is part of government expenditure. The new house is a final good and...
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...Sampson's Stationary 30 Silverstone Ave Kamloops, BC V2A 8B1 Tel:250-429-0002 February 21st, 20-- Mr. Ken Davis Hanson's Montessori School 15 Main St. Kamloops, BC V2A 7B5 Our ref: #223 Dear Mr. Davis: Outstanding Invoice Our records show that you have an outstanding balance dating back to January, 200-. Your January invoice was for $445.00 and we have yet to receive this payment. Please find a copy of the invoice enclosed. If this amount has already been paid, please disregard this notice. Otherwise, please forward us the amount owed in full by March 1st, 20--. As our contract indicates, we begin charging 5% interest for any outstanding balances after 30 days. Thank you in advance for your cooperation. We hope to continue doing business with you in the future. Sincerely, Maria McPhee Maria McPhee Accountant Enclosure: Invoice #223 Resignation Letter 22 Tufton Street London, SW1P 3TL Tel: 020 7593 1760November 1st, 2007Josie Waters Fielders Pharmacy 14 Broadway London, SE1 7DGDear Mrs. Waters,I am writing to provide formal notice of my resignation from Fielders Pharmacy. My last day will be November 14th, 2006.I trust that two weeks is sufficient notice for you to find a replacement for my position. I would be pleased to help train the individual you choose to take my place.Thank you for employing me for the past three years. My experience as clerk, supervisor, and floor manager has been very positive and I'm confident that I will use many of the...
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...October | | | | | Tue: 13 | BWVW | Worldview Assignment Pt. 2 | | | Tue: 13 | THEO | Chapter 12 | | Chapter 12 Quiz | Th: 15 | THEO | | Exam #2: Ch 9-12 | | Fri: 16 | CSTU | Chapters 11-12 | | Ch. 11-12 Quiz | Fri: 16 | BIBL | | Test 1 (Midterm Exam) | | Fri: 16 | UNIV | Effective Email Project | | | | | | | | Mon: 19 | BIBL | Romans Essay Available | | Bb Quiz: Ch 10, 14, 15 | Mon: 19 | EVAN | Reading & Book Review | + Reflection Paper | + Check for reading | Tue: 20 | BWVW | Read: World Religions Overview | | | Tue: 20 | THEO | Chapter 13 | | Chapter 13 Quiz | Th: 22 | BWVW | | Test #2 | | Th: 22 | THEO | Chapter 14 | | Chapter 14 Quiz | Fri: 23 | CSTU | Chapters 13-14 | | Ch. 13-14 Quiz | Fri: 23 | UNIV | Time Management Activity | Reflections Paper | | | | | | | Mon: 26 | EVAN | Check for possible reading | | | Tue: 27 | BWVW | Read: What is Moral Relativism | | | Tue: 27 | THEO | Chapter 15 | | Chapter 15 Quiz | Wed: 28 | BIBL | Acts 21-28 Pent-Sum; Eph. Com. Meditation; Phil. Prayer Journal | | | Th: 29 | THEO | Ch. 16 & Biblical Worldview | | Chapter 16 Quiz | Fri: 30 | CSTU | Chapters 15-16 | | Ch. 15-16 Quiz | Fri: 30 | UNIV | Information Literacy Project Pt 1 | | | | | | | | November | | | | | | | | | | Mon: 2 | BIBL | Col. Com. Prayer; Phile. Ch. Ref. | | Bb Quiz: Ch 16&22 (Col, Phile) | Mon: 2 | EVAN | Witnessing Report + | Check for...
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...Be ready to meet and show up. Look forward to getting to know you all. 8/31 Group activities continued to cover fundamentals later used for the class and group work; plus Chapter 1. Read Chapter 1 and finish online quiz #1 on Blackboard by end of day Wednesday 11:59pm MST-No late work accepted, so don’t miss these easier points. 9/7 Chapter 2 and 3 started. Quiz #2 and group work. 9/11 Drops (partial schedule remaining) through this date will be refunded 100%. IMPORTANT NOTE: No drop refunds after this date 9/14 Chapter 3 and project/lab work. Quiz #3 and group work. 9/21 Chapter 4 and project/lab work. Quiz #4 and group work. 9/28 Chapter 5 and project/lab work. Quiz #5 and group work. 10/5 EXAM #1 Be ready and get a lot of points. Bring Laptop with wireless and Respondus lockdown ready 10/12 Chapters 6 and Group Work Quiz #6 and group work. 10/19 Chapters 7 and 8; Group Work (time permitting) Quiz #7 and group work. 10/26 Project Group Work Time in the Library Project Work Due Sunday end of day Nov 2. 10/31 Last day to drop or withdraw without special permission from your dean (Regular semester courses) 11/2 Chapters 9 and 10; Group Work Quiz #8 and group work. EXAM #2 – Take Home Due before Sunday 10/9 11:59 11/9 Chapters 11 and 12; Group Work Quiz #9 and group work. 11/16 Chapters 13 Quiz #10 and group work. 11/23 THANKSGIVING BREAK Quiz #11 and group work. 11/30 Group Time Be Ready 12/7 Presentations Be Ready 12/14 Prep and Final Exam Work Be...
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...How does Barker create a sense of tension and disgust with Yealland’s treatment in Chapter 21? Barker presents Yealland’s treatment, although successful as inhumane and disgusting. She has manipulated the setting to create an aura of darkness and torture. This is them amplified by the use of River’s reaction and thoughts while watching the treatment and the descriptive imagery used during the treatment. First of all, Barker sets an atmosphere of fear by the use of descriptive language. She writes “he began pulling down the blinds. The blinds were the thick, efficient blinds for wartime”. This action normally means that the person could be doing something that shouldn’t be seen. The phrase “efficient blinds for wartime” clearly tells the reader that during war, when a soldier is about to be tortured, those kind of blinds would be used to prevent anyone seeing. Moving on, Barker has used Yealland’s action to increase tension within the reader. We see this in the way she introduces Yealland into the scene. She writes “Yealland, who’d been emptying his bladder in preparation for a long session, came in, rubbing his hands”. She tells the reader that he “prepares for a long session”, this could connote to the reader Yealland knows how much suffering he is about to go through. This also gives the reader a hint of how bad his treatment is going to be. Secondly, Barker has made this text inhumane by using descriptive language, Imagery, and patient reaction. On page 231, Barker...
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...website Related Products !! Week 1 Assignment Chapters 1 and 2 Questions Questions 1.1, 1.3, 1.5, 1.8 Problems 2-14 Week 2 Assignment Chapter 3 Questions Questions 3.3, 3.5, 3.6 Problems 3-1, 3-6, 3-11 Week 3 Assignment Chapter 12 Questions Questions 12.3, 12.5 Problems 12-3, 12-5, 12-7 Week 4 Assignment Effects of Financial Planning Week 5 Assignment Assigned Problems Questions 4.2, 4.4, 4.5 Problems 4-3, 4-7, 4-10, 4-29 Week 6 Assignment Assigned Problems Question 5.1 Problem 5-1, 5-4, 5-9, 5-13 Week 7 Assignment Assigned Problems Questions 6.3, 7.2 Problems 6-2, 6-6, 7-1, 7-8 Week 8 Final Exam Problems 2-4, 2-7, 3-8, 3-10, 12-1, 12-4, 13-6, 13-7, 13-8, 4-4, 4-5, 4-20, 4-22, 5-15, 5-21, 6-4, 6-10, 7-4, 7-10, 8-4, 8-5, 8-6, 9-3, 9-3, 9-13 Week 1 Assignment Chapters 1 and 2 Questions Questions 1.1, 1.3, 1.5, 1.8 Problems 2-14 Week 2 Assignment Chapter 3 Questions Questions 3.3, 3.5, 3.6 Problems 3-1, 3-6, 3-11 Week 3 Assignment Chapter 12 Questions Questions 12.3, 12.5 Problems 12-3, 12-5, 12-7 Week 4 Assignment Effects of Financial Planning Week 5 Assignment Assigned Problems Questions 4.2, 4.4, 4.5 Problems 4-3, 4-7, 4-10, 4-29 Week 6 Assignment Assigned Problems Question 5.1 Problem 5-1, 5-4, 5-9, 5-13 Week 7 Assignment Assigned Problems Questions 6.3, 7.2 Problems 6-2, 6-6, 7-1, 7-8 Week 8 Final Exam Problems 2-4, 2-7, 3-8, 3-10, 12-1, 12-4, 13-6, 13-7, 13-8, 4-4, 4-5, 4-20, 4-22, 5-15, 5-21, 6-4, 6-10, 7-4, 7-10, 8-4, 8-5, 8-6, 9-3, 9-3...
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...The Awakening Close Reading Discussion Questions Always reference page numbers as part of evidence for responses. Always add new vocabulary to your notes to expand your diction. Chapters 1 through 5 • What observations can be made from the cover? What might be meant by “The Awakening”? • What does the introductory paragraph/page introduce? Why? • Are there any symbols? • Character descriptions (What kind of husband/father is Mr. Pontellier? Mother/wife is Mrs. Pontellier? How is Mrs. Ratignolle described? Robert Lebrun?) • What is the setting (time and place)? How does it factor into the interactions of the characters? • Page 18, why is Edna crying. Find the best word from the text to describe what she is feeling? • Chapter 5, paragraph 4, how is Adele Ratignolle described? To what is this allusion referencing? • What is a Creole? Chapters 6 through 10 • How does the Chapter 6 relate to the title? • What is the significance of the sea? • What is chapter 6 saying about Edna’s emotional state? • Why does the author spend time referencing Edna’s childhood? • Lady in black and the lover imagery is referenced in the same paragraph, multiple times in these chapters, why? • What is the significance of Adele and Robert’s conversation on the way back from the beach? • Alcee Arobin is introduced as a character. Why? How does he contribute to the story? • Where is Vera Cruz? What is its significance...
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...CHAPTER 21 CAPITAL BUDGETING AND COST ANALYSIS 21-1 No. Capital budgeting focuses on an individual investment project throughout its life, recognizing the time value of money. The life of a project is often longer than a year. Accrual accounting focuses on a particular accounting period, often a year, with an emphasis on income determination. 21-2 The five stages in capital budgeting are the following: 1. An identification stage to determine which types of capital investments are available to accomplish organization objectives and strategies. 2. An information-acquisition stage to gather data from all parts of the value chain in order to evaluate alternative capital investments. 3. A forecasting stage to project the future cash flows attributable to the various capital projects. 4. An evaluation stage where capital budgeting methods are used to choose the best alternative for the firm. 5. A financing, implementation and control stage to fund projects, get them under way and monitor their performance. 21-3 In essence, the discounted cash-flow method calculates the expected cash inflows and outflows of a project as if they occurred at a single point in time so that they can be aggregated (added, subtracted, etc.) in an appropriate way. This enables comparison with cash flows from other projects that might occur over different time periods. 21-4 No. Only quantitative outcomes are formally analyzed in capital budgeting decisions. Many effects of capital budgeting...
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...Chapter 21 Warranties and Product Liability • Warranty, which is an assurance provided in a sales contract • Negligence, which refers to unreasonable conduct by the defendant • Strict liability, which prohibits defective products whether the defendant acted reasonably or not. A warranty is a contractual assurance that goods will meet certain standards. An express warranty is one that the seller creates with his words or actions. The UCC establishes that the seller may create an express warranty in three ways: (1) with an affirmation of fact or a promise; (2) with a description of the goods; or (3) with a sample or model. In addition, the buyer must demonstrate that what the seller said or did was the basis of the bargain. A statement is more likely to be an affirmation of fact if: • It is specific and can be proven true or false. Suppose the brochures of a home builder promise to meet “the strictest building codes.” Since there is a code on file, the builder's work can be compared to it, and his promise is binding. • It is written. An oral promise can create an express warranty. But promises in brochures are more likely to be taken seriously. Statements in a written contract are the likeliest of all to create a binding warranty. • Defects are not obvious. If a used car salesman tells you that a car is rust free, when the driver's door is pockmarked with rust, you should not take the statement seriously— since a court will not, either. • Seller has greater expertise...
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...ASSIGNMENT TIMELINE—COSC 2425 Dates | Text Chapters | Pages and sections covered | Assignments | Week 1June 6th – June 11th | Chapter 1: Basic Concepts Chapter 2: x86 Processor Architecture | Page 1-28 Pages 29-57 | Read all material in the Getting Started Folder, read the syllabus (located on the Course Home tab), read the assignment timeline and grading sheet.Assignment 1: Introduce yourself to the class (Located in the Getting Started Folder) Quiz Chapter 1 Quiz Chapter 2 | Week 2June 12th –June 18th | Chapter 3: Assembly Language Fundamentals Chapter 4: Data Transfers, Addressing, and Arithmetic | Pages 58-93 Pages 94-131 | Quiz Chapter 3 Quiz Chapter 4 | Week 3June 19th –June 25th | Chapter 5: ProceduresChapter 6: Conditional Processing | Pages 132-179 Pages 180-228 | Quiz Chapter 5 Quiz Chapter 6 Programming Project 1 (Covers Chapters 1-6) | Week 4June 26th – July 2rd | Chapter 7: Integer Arithmetic Chapter 8: Advanced Procedures | Pages 229-269 Pages270-331 | Quiz Chapter 7 Quiz Chapter 8 | Week 5July 3rd – July 9th | Chapter 9: Strings and Arrays Chapter 10: Structures and Macros | Page 332-365 Pages 366-418 | Quiz Chapter 9 Quiz Chapter 10 Programming Project 2 (Covers Chapters 1-10 concentrating on the concepts learned in chapters 7-10) | July 4th Holiday | | | No Class | Week 6July 10th – July 12th | Comprehensive and covers all chapters (1-10) | | FINAL EXAM on Tuesday July 12th, 2011...
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...ECO 305 All Quiz and Homework, ECO 305 WK 3 Homework Ch 5 - 16(a-c), 17(a-d), 18(a-b); Ch 6 - 13(a-b), ECO 305 WeeK 3 Quiz 2 - Chapters 3 and 4 , ECO 305 WK 1 Homework Ch 2 - 12(a-b),13(a-c),14, ECO 305 WK 2 Homework Ch 3 - 13(a-d); Ch. 4 - 15(a-b),16(a-b), ECO 305 WK 2 Quiz 1 - Chapters 1 and 2, ECO 305 WK 5 Homework Ch 8 - 6(a-d) , ECO 305 WK 5 Quiz 4 - Chapter 7 , ECO 305 WK 6 Homework Ch 9 - 11(a-c), 12(a-c), ECO 305 WK 6 Quiz 5 - Chapter 8 - All Possible Questions, ECO 305 WK 9 Quiz 8 - Chapters 12 and 13 , ECO 305 WK 11 Quiz 10 - Chapters 16 & 17 , ECO 305 Complete Class Assignments | strayer help, ECO 305 Strayer ECO 305 Week 1, ECO 305 Week 2, ECO 305 Week 3, ECO 305 Week 4, ECO 305 Week 5, ECO 305 week 2 Assignment, ECO 305 week 3Assignment, ECO 305 week 4 Assignment, ECO 305 week 1 Assignment, ECO 305 tutorial, ECO 305 Complete Course, ECO 305 Entire Class, ECO 305 Whole Tutorial, ECO 305 tutorial, ECO 305 Summary, ECO 305 Study Guide, ECO 305 Questions , ECO 305 Answered , ECO 305 Solution, ECO 305 Final , ECO 305 Presentation, ECO 305 Universty, ECO 305 University of, ECO 305 Homework, ECO 305 Version, ECO 305 Strayer assignment, ECO 305 Strayer course, ECO...
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...review chapters 11-21 Multiple Choice Identify the choice that best completes the statement or answers the question. ____ 1. A new-product strategy: a. | links the new-product development process with the objectives of the marketing department, the business unit, and the corporation | b. | is part of an organization's overall marketing strategy | c. | specifies the roles new products play in the organization's overall plans | d. | describes the characteristics of products the organization wants to offer and the markets it wants to serve | e. | is accurately described by all of these | ____ 2. The first stage of the new-product development process is: a. | screening and concept testing | b. | establishing the new-product strategy | c. | exploring opportunities | d. | developing a business analysis | e. | the building of a prototype | ____ 3. A manufacturer of office furnishings is finding it difficult to compete with cheaper imported merchandise. Which of the following is a potential source of new-product ideas that would allow it to compete more effectively? a. | current retailers who carry the manufacturer's equipment | b. | its foreign competitors | c. | the company's employees | d. | customers who have requested its catalogs | e. | all of these | ____ 4. Which of the following stages of the new-product development process is the first filter in the new-product development process and serves to eliminate new-product ideas...
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