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a company leases equipment with a fmv of $250000, an economic life of six years and no residual value. the term of the lease is 6 years and should return a yield of 6%

6% tables Present Value PV Annuity Due

Year 4 .79209 3.67301

Year 5 .74726 4.46511

Year 6 .70496 5.21236

What is the amount of the lease payment per year using the table above assuming payments are made the beginning of each year?

(A) $54291

(B) $44805

(C) $28131

(D) $47963

Could you show me how to work this problem please?

The percentage of completion method should be used under which situation?

(A) Revenues are recognized during the contract period

(B) Revenues are recognized at time of payment

(C) Gross profit is recognized at time of project completion

(D) Expenses are recognized at time of project completion

when an investment does not have a ready market and you are purchasing the item over time, what should you use to determine the interest rate associated with the purchase?

(A) The imputed interest rate

(B) No rate considered

(C) The current federal bond market rate of interest

(D) The current market rate for the highest risk investment

on January 1, 2005 Company A agrees to lend $10,000 to company B if Company B signs a $12,000 10% 2 month note. Which journal entry is correct for company B on January 1, 2005?

(A)

DR Cash 10,000

DR Interest Expense 200

CR Notes Payable 10,000

CR interest payable 200

(B)

DR Cash 10,200

CR Notes Payable 10,200

(C)

DR Cash 10,000

CR Notes Payable 10,000

(D)

DR Notes receivable 10,000

CR Notes Payable 10,000

A company begins construction on a building on January 1, 2007. The company finances the construction with:

a $500,000 construction specific note for 3 years with 10% interest;

a $100,000 not for 5 years with 7% interest;

a $50,000 not for 10 years with 6% interest.

The avoidable interest amount is $52,000

which journal entry is correct?

(A)

Interest expense(DB)52,000

Cash (CR) 52,000

(B)

Expense (DB) 60,000

Cash (CR) 60,000

(C)

Building [capitalized interest] (DB)52,000

Interest Expense (DB) 60,000

Cash (CR) 112,000

(D)

Building [capitalized interest] (DB) 52,000

Interest Expense (DB) 8,000

Cash (CR) 60,000

on january 1 2005 company a agrees to lend $10000 to company b if company b signs a $12000 10% 2 month note.

what would be the correct journal entry for Company B on January 1, 2005?

a corporation has a new issuance of 5-year, 10% debenture bonds with a par value of $600000 dated may 1st of the current year. the bonds will pay semi-annual interest payment on october 31 and april 30. the bonds are issued at par on spetember 1 of the current year for cash.

What is the correct journal entry for the issuance of these bonds on september 1?