incurred by Lessor Ltd. The remaining useful life of the equipment is 4 years. At the time, the equipment had a Fair Market Value (FMV) of $265,000. Lessee Ltd guaranteed a residual value of $20,000 by the end of the lease term. The salvage value of the equipment was estimated as $2000 at the end of the economic life. The lessor’s implicit rate was calculated at 10% with the Present Value (PV) of the residual at $15,026 and lease payments at $248,690. The lessee’s incremental borrowing rate is 11%
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Course Name: Principles of Accounting Course Code: F-103 |PLANT AND EQUIPMENT | University of Dhaka Plant and Equipment Submitted to: Ms. Nusrat Khan Lecturer Department of Finance University of Dhaka Submitted by: Group No. 09 Section “A” BBA 18th Batch Department of Finance University of Dhaka Date of
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3.2.2 Assess the Company’s Accounting Flexibility Qantas is not flexible in impairment generally, especially for non-financial assets. The recoverable amount of assets is depending on the higher of the fair value less costs to sell and value in use. Consequently, the appropriate impairment charge could be less as the carrying amount of an asset or cash generating unit is lesslikely exceeds its recoverable amount. In addition, an impairment loss with respect to goodwill is not reversed, which could
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SIEGERT’s 190 SELECT A limited edition rum that epitomizes the Siegert legacy of Angostura A combination of warm and passionate aged rums and the company’s unique, iconic aromatic bitters, created in the memory of the only rum made using Angostura® aromatic bitters, Siegert Legacy - “Pink Rum”, and the very first rum made by the Siegerts – “Siegert’s Bouquet”, which became a Trinidadian tradition and was the start of the company’s rich rum heritage in the 1960s. Siegert’s 190 Select
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markets. For this, investors from all over the world rely upon financial statements before taking decisions. They need to be convinced that the financial statements are true and fair and what they understand from the statements is what the person preparing them intends to convey. However, different countries adopt different accounting treatments and disclosure patterns with respect to the same economic event. This may create confusion among the users while interpreting the financial statements. Financial
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incurred by Lessor Ltd. The remaining useful life of the equipment is 4 years. At the time, the equipment had a Fair Market Value (FMV) of $265,000. Lessee Ltd guaranteed a residual value of $20,000 by the end of the lease term. The salvage value of the equipment was estimated as $2000 at the end of the economic life. The lessor’s implicit rate was calculated at 10% with the Present Value (PV) of the residual at $15,026 and lease payments at $248,690. The lessee’s incremental borrowing rate is 11%
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The Financial Accounting Standards Board (FASB) The Statement of Financial Accounting Standards (SFAS) R25: Understanding the I/S R26:Understanding the B/S R27: Understanding the C/F R28: Financial Analysis Techniques R29: Inventories R30: Long-Lived Assets R31: Income Taxes R32: Long-Term Liabilities and Leases U.S. GAAP SS9 SS8 Generally Accepted Accounting Principle The International Accounting Standards Board (IASB) The International Accounting Standards (IAS)
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subsequently, as a result, it takes a lot of work to keep record of its carrying value; 2. PP&E makes up a large percentage of the total assets, especially for manufacturing companies, and is expected to be long-term assets held for use in production; 3. Mostly they are carried on the Balance Sheet based on the cost no matter how much their actual values are. So it is possible for companies to inflate or write down the value of PP&E by managers. Therefore, the investors have to pay attention to
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Annual Report 2013 The LEGO Group CVR: 54 56 25 19 Financial Highlights The LEGO Group (mDKK) Consolidated Income Statement: Revenue Expenses Operating profit Financial income and expenses Profit before income tax Net profit for the year Consolidated Balance Sheet: Total assets Equity Liabilities Consolidated Cash Flow Statement: Cash flows from operating activities Investment in property, plant and equipment Investment in intangible assets Cash flows from financing activities Total cash
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I. Succinct The case present a company named Lighthouse that it business specializes as a provider of locating services for the shipping industry. The services comprise of a one-way messaging service that routes messages from the ships at sea to the shipping company’s offices. The messages provide the shipping company detailed information regarding to ship location, speed and current local weather. The way the system works for gathering the ships data is, by installing a device as a dedicated
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