840-10-25-6 If the lease contains a bargain purchase option, only the minimum rental payments over the lease term and the payment called for by the bargain purchase option shall be included in the minimum lease payments. Otherwise, minimum lease payments include all of the following: a. The minimum rental payments called for by the lease over the lease term. b. Any guarantee by the lessee (including by a third party related to the lessee) of the residual value at the expiration of the lease term, whether
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into a capital lease agreement. When a lease agreement is a capital lease agreement a company must capitalize the lease. “It records an asset and a liability generally equal to the present value of the rental payments.” (Kieso et al, 2007, p. 1022). In order for a lease to be considered a capital lease it must meet at least one of the four following criteria: The lease transfers ownership of the property to the lessee. The lease contains a bargain purchase option. The lease term is equal to
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Week 4 Assignment 47.1 The issue in the case of Buder v. Sartore revolves around the requirements and obligations that Buder was responsible for under UGMA when he made investments on behalf of his children. Specifically, did he make such poor decisions that he can be held irresponsible and liable for the losses incurred by the investing in speculative penny stocks? Sartore’s argument is that Buder did not act in the best interests of the children and UGMA dictates that Buder has the “fiduciary
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leasing transaction and also includes syndication and participation fees to the extent they are associated with the portion of the loan retained by the lender. Provision 2) > Non-Performance-Related Default Covenants 05-8Some lease agreements contain default provisions that are unrelated to the lessee's use of the property, such as financial covenants (for example, maintenance of certain financial ratios related to the financial condition of the lessee). The remedies for default
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CONTRACT OF LEASE KNOW ALL MEN BY THESE PRESENTS: This Contract of Lease is entered into at Davao City , Philippines, this _______day of ______________200_ by and between: _______________ , _________Citizen, of legal age, with postal address at _______________________________________ , hereinafter referred to as the “LESSOR”. -and- MR./MRS__________________________________________________with address at __________________PASSPORT NO.:______________________hereinafter
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Project Memo: To: Joe Carpet of NeedMoreRoom, Inc. From: Date: August 5, 2012 Subject: Accounting for lease obligation The proper treatment for the first provision in the lease agreement stating, “Lessor requires the lessee to perform general repairs and maintenance on the leased premises.” It should be addressed as follows: The proper treatment for the second provision in the lease agreement stating, “Lessor requires the lessee to remove all leasehold improvements such that the premises
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FASB website for information on leases and lease structure issues, in particular the current practices and thought related to direct financing, sales type, and operating leases. The following is a brief explanation of the results and also a recommendation of an approach that the client can use to evaluate and capitalize on the opportunity of adding the new customer. The FASB has outlined certain criteria for classifying leases as either capital leases or operating leases. In SFAS No. 13 the criteria
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You have asked that I research and analyze the Porters’ options and consequences of each option. Specifically: 1) Defense of an unlawful detainer action against the Porters for eviction based on their alleged violation of a lease term 2) Filing of a State Action for discrimination against Phoenix Towers 3) Filing of an Administrative Complaint based on the discriminatory actions of Phoenix Towers This memorandum addresses these issues below
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QUESTION 1 Explain in details how development in communication technology has improved business communication with particular reference to * Computers * Internet * Networks * Email * Telefax * Video conference ANSWER Computers Computers have affected the business world in a very significant way; they have enabled business people to be able to communicate more efficiently. Nowadays we rely on computers in every aspect of our life’s, to make bank transactions, to run automobiles
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MITSUBISHI MOTORS CORPORATION : Announces Fiscal 2013 First Quarter Operating Results 07/30/2013 | 03:14am US/Eastern Recommend: 0 Tokyo, July 30, 2013 - Mitsubishi Motors Corporation (MMC) today announced its sales and financial results for the first quarter of the 2013 fiscal year (FY) ending March 31, 2014. 1. Performance overview MMC posted a consolidated net sales of 409.4 billion yen for the first quarter of fiscal year 2013 (April 1, 2013 through June 30, 2013), a 2% or 9.9 billion
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