Chapter%2015%20-%20In-Class%20Exercises%20-%20Solution%20#3

Chapter%2015%20-%20In-Class%20Exercises%20-%20Solution%20#3...

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Unformatted text preview: In‐Class Exercises Exercise #3 PV of lease payments (pmt=17280, n=5, i=4%, annuity due) Payment Amount Interest Revenue Reduction in Receivable $17,280.00 14,771.02 15,361.86 15,976.33 16,615.38 Lease Pmts. Receivable $80,004.59 62,724.59 47,953.57 32,591.72 16,615.38 0.00 Chapter 15 $80,004.59 Date 1/1/2010 1/1/2010 12/31/2010 12/31/2011 12/31/2012 12/31/2013 12/31/2014 $ 17,280.00 17,280.00 $2,508.98 17,280.00 1,918.14 17,280.00 1,303.67 17,280.00 664.62 1/1/2010 Lease Payments Receivable Sales Cost of Goods Sold Equipment Inventory Deferred Initial Direct Costs Cash Lease Payments Receivable Executory Costs 12/31/2010 Cash Lease Payments Receivable Interest Revenue Deferred Executory Costs 80,004.59 80,004.59 72,000.00 70,000.00 2,000.00 18,080.00 17,280.00 800.00 18,080.00 14,771.02 2,508.98 800.00 ACCT 4050 Page 4 of 4 Chapter 15 ‐ In‐Class Exercises ...
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