Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on january 1 of the current year, fields corporati

On January 1 of the current year, Fields Corporation leased a machine from Kilmer Company....

90.2K

Verified Solution

Question

Accounting

On January 1 of the current year, Fields Corporation leased a machine from Kilmer Company. The machine originally cost Kilmer $450,000. The lease is an operating lease that requires for five annual payments of $54,000 beginning on January 1 of the current year. Which of the following journal entries should Kilmer record on January 1 of the current year?

A. Cash 54,000

Rent Expense 54,000

B. Cash 54,000

Unearned Rent Revenue 54,000

C. Cash 54,000

Rent Revenue 54,000

D. Cash 54,000

Lease Receivable 54,000

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Stark Ltd manufactures components for audio-visual systems andon 1 August 2017 commenced a project...

Accounting
Q

Assume that a simple random sample has been selected from a normally distributed population and test...

Statistics
Q

Consider the client's case history: 30 year-old female with gradual hearing loss over the last 3...

Medical Sciences
Q

Explain the operation of 12-pulse full controlled rectifier by sketching circuit schema and related waveforms and...

Electrical Engineering
Q

I need a report this report will includes the following: 1. Types of pumps and their...

Mechanical Engineering
Q

Purpose: To explore the sampling distribution for sample proportions. Materials: One package of candies with multiple colors (M&M’s...

Basic Math
Q

4. Scheuller Company had machinery that had originally cost $246,000. The machinery was three years old...

Accounting
Q

Match the cell types that occur within angiosperm xylem and phloem with the cell type...

Biology
Q

Write the indicated amounts, using numerals and abbreviations.Two tablespoons

Basic Math
Q

21-3 "hannon, Inc., changed from the LIFO cost flow assumption to the FIFO cost flow...

Accounting
Q

Compute the dollar change, and the percentage change, in Net (Loss)/Income, for the most current,...

Accounting
Q

On January 1, 2017, Ivanhoe Corporation granted 5,000 options to executives. Each option entitles the...

Accounting