n a Word document - see the rubric for milestone 2 A. Explain the implications of capital lease based on how it relates to the company’s equipment usage. B. Explain how postretirement plans will impact the company financially in the short and long term, us accounting workbook to support claims.
Leases Peyton Approved has revised its postretirement plan. It will now provide health insurance to retired emplo requested that you report the short- and long-term financial implications of this. · The company is currently employing 60, and actuaries estimate that the company has a pensi · The estimated cost of retired employees’ health insurance is $43,718.91. · Prepare adjusting entries for the pension liability and the health insurance liability · Six ovens were rented on December 31, with $20,000 charged to rent expense. The lease runs interest rate of 5%. At the end of the 6 years, Peyton will own them. Make any necessary adjustin
ries and post to the trial balance . sing examples from the HOME
oyees. Management has ion liability of $107,041.70. s for 6 years with an implicit ng entries.
Capital Leases $ 14,924.31 Present Value Year lease payment DF Present Value $ 20,000.00 Future Value 1 $ 20,000.00 0.9524 $ 19,048.00 $ 5,075.69 Interest 2 $ 20,000.00 0.9070 $ 18,140.00 3 $ 20,000.00 0.8638 $ 17,276.00 4 $ 20,000.00 0.8227 $ 16,454.00 5 $ 20,000.00 0.7835 $ 15,670.00 6 $ 20,000.00 0.7462 $ 14,924.00 $ 101,512.00 Pension payouts Short term $ 43,718.91 Long Term $ 63,322.79 Pension payout $ 63,322.79 Pension Liability $ 107,041.70 Health Insurance Liability $ 43,718.91
ending balance year lease payment interest principal amount $ 101,512.00 1 $ 20,000.00 $ 5,076.00 $ 14,924.00 $ 86,588.00 2 $ 20,000.00 $ 4,330.00 $ 15,670.00 $ 70,918.00 3 $ 20,000.00 $ 3,546.00 $ 16,454.00 $ 54,464.00 4 $ 20,000.00 $ 2,724.00 $ 17,276.00 $ 37,188.00 5 $ 20,000.00 $ 1,860.00 $ 18,140.00 $ 19,048.00 6 $ 20,000.00 $ 952.00 $ 19,048.00 $ - $ 18,488.00 HOME
Southern New Hampshire University ACC309 - Intermediate Accounting III IMPORTANT NOTE: This page contains new information the must be included in the final project but has not been in milest ITEMS TO COMPLETE FOR THIS MILESTONE: GENERAL ADJUSTING ENTRIES Prepare appropriate adjusting entries for patent Prepare appropriate adjusting entries for capitalization of machine repair ADJUSTED TRIAL BALANCE Prepare the adjusted trial balance REVISED FINANCIAL STATEMENTS Prepare a revised income statement - include comprehensive income Prepare a revised retained earnings statement Prepare a revised balance sheet EARNINGS PER SHARE Determine the impact on earnings per share caused by each expansion plan option INSTRUCTIONS FOR FINAL (Due Week 7) Make sure to completely review the Rubric for Final Project In preparation of the annual audit, prepare appropriate adjusting entries and post to the trial balance wo adjusted trial balance and the preliminary 2017 statements (yellow tabs) to prepare revised financial stateme Calculate the impact on earnings per share that the expansion options will cause. (Orange tabs) NOTES TO THE FINANCIAL STATEMENTS - Prepare in a Word document - see the rubric for final project A. Compose appropriate footnotes within a statement of comprehensive income in accordance w standards, such as GAAP, International Financial Reporting Standards, and SEC, as applicable.
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