1
Accounting for lessos
①
Eco
life vi
rseful life
Usefulliga
Laptop by
Ox0JEClife.
1.
purchased an 158. 2
years... ↓
leave from -
2.
Purchard by an 1
College 5
year...
Game zone 3
purchased by
3. a
yearsa
Economic
life. 10eas.
② LEASE
PAYMENTS.
Contractually
agreed payments to lesson.
yes. lessee
Prog 2.p.
L
2900 F.v.
v
0 le,
42.
< Partic.
*
Pasent know.
No of
Pristic related
↓
to lesson.
Even contractual.
if
3 Specialised Assets-
Assetshould
1 Issee.
only
be useable
by Always a
finance leave
Others can use it
signing. Modig.
after
(incussing huge costs
④ /5 Transes of Art at term end
optional
compulsory &
finance -
leave.
·
Expected to
NotErp. to
DeExc.
~ be Enc.
oThe. Cond
finance leave to be met.
Leave
operating Finance v
to to lessee
Fin. Leave
Eco.
benefits Significat
-
>
Reterin
5 Citesia I
operating. X
L.Rec - Fin. Assi PPE -> v
PRE ->
physical
·
Deps.
Rental income.
Plant E.
Life:20 years. ~
N
↓
50,000 unit
first540
->
15 -5,000
Productive Raidud.
...
⑭
54..
Prof (p 90%0 Fre
=
I
Asset:400,000
Frog
Initial Dis. G1:
-
20,0000
Invest in leave. 420,000 -
Frmz
5yeasc.
-
·
·
Rate: 10 %. -
-
RU. end.10:30,000
at -
Expected
giteed by steed by pastice
lessee related to
R 40,000
=
bysp. knss x
a
UGRU.
v justh.8,000 v
R =
jusTes
12008
Inventmentin Fleam420,000
Step#1
Prog known pay.
D. P ->
GodRr (24,837). (70,000 1.5) =
by
lessee
GodRu
by (4,967) (8000 1.15)
=
3p.
UGR.V (7,451) (12000 1.15) =
382,745 ↑
"
Rental: (1 100)
382,745=(1 3.
- +
Pental:100,967"4
70
Inv.in FL 720,000
PPE 700,000
Cash 20,000
10%
40 Cash 100,967
Ints. Income. 42,000
Ino. in FC 58967
&FP
Non C. A
Inv. in FC N-21 296,169.
C. Asus
Invest in FL n.2164,867
Investmentin FL
Boutah. -
G00s. (100,967 x4) 783,868
Gsteed R.W.- 4501. 78,000
90. Leavs Pogrant (N21.1) 451,868
UGRU- 12,000
Gron ResinFL ⑮
3,868
Uncovered In come. (102,835)
jin
Net Fr. in FL 361,033
Cussantpostion (64,864)
NIFL -
Longform 296.169
Profile.
Matacity
Due in 9. Res
1Y.. 100,967
24. 100,967
345. 100, 967
44. 148,967(100,967 +48,000)
576. ~
beyond 5y.
90. Leave Rec. 1868
15,
Accounting for up.
Leave.
Teams.
Term = 443.
Rutal. I Y5.) ->
40.2 45,000
YS.3 50,000
w
45.4 67,500
201 1200,000
&
IDC = 20,000
45.0 IDC - ASSA 20,000
Cash 20,000
4.1 45,000 6750
Aug Rental 0 50,000
+ +
+
=
=140,625
1. RentRec 40,6250
Rental Incom 40,625
11 Ratal Incone. (20000:4) 5,000
IDC - ASSA 5,000
ash 45,000
12 Rent Rec 4,3752
Rental Inc. 40,625
Ys.2 Rantal Income. 5,000
5,000
IDC- Amt
-
25.3 Cash 50,000
Pental Incom 40,625
Pant Rec. 93755
1
/
Rental Income 5,000
13
IDC -
5,000
And
Cash 67,500
45.4 Pental Inc. 40,625
Rat Rec 26,8752
45.4
-
Ratal Inc. 5,000
IDC- Amt 5,000
BIsheel
Non Cassant
Y5.4 23 -
15
Put
Rec ~
- 26,87536,250
aussantto
-
- 26,879375 43757
Matesity
Profile
Due in
pay (9001)
Leave
146. 45,000
24. 50,000
395 67,5-
/ Deales Lessos
Manufactures
Saln.
Manyproduces ->
Peaks purchase
Inventory R& R.
tomses
-
a re-sale.
Sale.
leased Asrt
Inventory. -
->
&
Inventory:R:400,000meter
interest:10%
500,000 -
31-(1710455:
3 131899
42 Inv.in F2 500,000 Inv. in FL 500,000
Saln. 500,000 20 700,000
gs Sala. 500,000
10 Co 700,000 400,000
gi Inventory
Inventory 400,000
100 /
131.899],
I ↑
11 Cash 131,899
Ints. Income 50,000
Inwin FL 81,899
- -
Done should howbeen done
5.5.5
167,190
x31 -
(1
5%
+
3. 167, 190
31-(+20:7)3
x
1Pu 723,845
1PV=500,000
Ys.0
Ino.in FL 723,845- 400 Invin FL 500,000
Sala. 723,875
Sal. 500,000
# 400,000
Cogn >
Inventory 400,000 Cogs. 700,000
Inventory 400,000
40 Cash 167,190 toI Cash 167,190
Ints. Inc. 36,1922
Into.Fnc. 100,000 -
Invin FL 130,998/
Inv-in FC 67,190
Fr.592,877
IN 432,818
Cossecting Entry.
=
Sales 223,845
Investment 160,037
Ints. In some 63,808
Nosmal MID
lasso 31sOs
U9QU U9RV-
- -
GRV. GRU
Carl lesson:Normal -> RueGRU.
Step #1 find Rental.
FV = -570,000
Proj9RV. (56,380390,800:1.1;
to be coussed 483,620
Journal
through dentals
5
483,620
7710... 3 127.570 Inv.in FL 540,000
-
31 -
PPE 540,000
1 r
Case 2 Lessos Normal
:
RU:v9RU.
Pautal.
spHI Find
FUE 570,000
Prof UGDU. 156,3807 90,000:1.)
783,620
Rental:483,620 =
31 -
(1+10.55..
Mental:127,578
Journal
Inv. in FL 570,000
PPE 570,000
-
I
I 2
games lessos:MIBeales. RU=GRU.
Step #1 find Rentals.
#= 570,000
1.15
Proj 9RV. (56,380) 90,800 =
483,620
Putaly:
483,620-31-(510)in
Pentall:127,570
Journal Entsia vr v- vv
sales lowes of
Inv. in FL 50,000 540,000
Fv=
Co 750,000
g. Sale. 570,000 ProgLP 70,000
450,000
Inventory L.
Day.
127,578 x
515710:55
POoJ9Pv.
90,800 1.15
=
570,000
I
can 4 lesson -> MIDeals. RU:VGRU
Sala - when fish & Reward as
transfesed.
Step#1 Find Pental
Fr = 570,000
(56,380) 90800 1.15
PrOJUGRv.
=
4 83,520
483.620:
(1 -
771075
Rentals:R:127.578
Sala.
PrOJLP:Mentals
⑨
127,578
31 (1+10.5in
=
x -
T483.620 #
⑬ Fo 70,000
570,000 - 483.,20: 156,500
Inv. inFL 570,000.
563807393,620
cog.(450,000
- =
Scla. 483,620-
393,620
Inventory
450,000
56,360
393,6207
Invest
sell out
cog. 56,380 x(1 +
104.5:/90,800
Summary
-
Inc. in L
ProJLp
·g Soh.
T
invatig
Clowesof
->
POLLP
cost
(Cost-ProJU9Bv) of inventory.
