On January 1, 2021, Wildhorse Corporation signed a 5-year noncancelable lease for equipment. The terms of the lease called for Wildhorse to make annual payments of $209000 at the beginning of each year for 5 years beginning on January 1, 2021 with the title passing to Wildhorse at the end of this period. The equipment has an estimated useful life of 7 years and no salvage value. Wildhorse uses the straight-line method of depreciation for all of its fixed assets. Wildhorse accordingly accounts for this lease transaction as a finance lease. The lease payments were determined to have a present value of $886101 at an effective interest rate of 9%. In 2021, Wildhorse should record interest expense of:. a. $60939.
b. $79749.
c. $129251.
d. $148061.

Alandowner and his neighbor purchased adjoining undeveloped lots. after both built homes on their respective lots, the landowner suggested to the neighbor that a common driveway be built where the two lots joined. the neighbor agreed. the landowner and the neighbor split the cost of constructing the driveway and entered into a written agreement to equally share the costs of its upkeep and maintenance. the agreement was recorded in the county recorder's office. two years later, the neighbor built a new driveway located entirely on his lot. the common driveway, which the landowner continued to use but which the neighbor no longer used, began to deteriorate. the landowner asked the neighbor for money to maintain the common driveway, but the neighbor refused to contribute. three years later, the neighbor conveyed his lot to a friend. the friend entered into possession and used only the driveway built by the neighbor. by this time, the common driveway had deteriorated badly and contained numerous potholes. the landowner asked the friend to pay half of what it would take to repair the common driveway. the friend refused. the landowner repaired the driveway and sued the friend for 50% of the cost of repairs. will the landowner prevail?

When an interest-bearing note comes due and is uncollectible, the journal entry includes debitingaccounts receivable and crediting notes receivable and interest revenue. accounts receivable and crediting interest revenue. notes receivable and crediting accounts receivable and interest revenue. notes receivable and crediting accounts receivable.

The card shoppe needs to maintain 21 percent of its sales in net working capital. currently, the store is considering a four-year project that will increase sales from its current level of $349,000 to $408,000 the first year and to $414,000 a year for the following three years of the project. what amount should be included in the project analysis for net working capital in year 4 of the project?