Benedict Company leased equipment to Mark Inc. on January 1, 20X1. The lease is for an eight-year period, expiring December 31, 20X8. The first of eight equal annual payments of $600,000 was made on January 1, 20X1. Benedict had purchased the equipment on December 29, 20X0, for $3,200,000. The lease is appropriately accounted for as a sales-type lease by Benedict. Assume that at January 1, 20X1, the present value of all rental payments over the lease term discounted at a 10% interest rate was $3,520,000. Required:
What amount of interest income should Benedict record in 2018 (the second year of the lease period) as a result of the lease?

)murphy was consuming 100 units of x and 50 units of y . the price of x rose from 2 to 3. the price of y remained at 4. (a) how much would murphy’s income have to rise so that he can still exactly afford 100 units of x and 50 units of y ? g

9. tax types: taxes are classified based on whether they are applied directly to income, called direct taxes, or to some other measurable performance characteristic of the firm, called indirect taxes. identify each of the following as a “direct tax,” an “indirect tax,” or something else: a. corporate income tax paid by a japanese subsidiary on its operating income b. royalties paid to saudi arabia for oil extracted and shipped to world markets c. interest received by a u.s. parent on bank deposits held in london d. interest received by a u.s. parent on a loan to a subsidiary in mexico e. principal repayment received by u.s. parent from belgium on a loan to a wholly owned subsidiary in belgium f. excise tax paid on cigarettes manufactured and sold within the united states g. property taxes paid on the corporate headquarters building in seattle h. a direct contribution to the international committee of the red cross for refugee relief i. deferred income tax, shown as a deduction on the u.s. parent’s consolidated income tax j. withholding taxes withheld by germany on dividends paid to a united kingdom parent corporation

Acorporation a. can use different depreciation methods for tax and financial reporting purposes b. must use the straight - line depreciation method for tax purposes and double declining depreciation method financial reporting purposes c. must use different depreciation method for tax purposes, but strictly mandated depreciation methods for financial reporting purposes d. can use straight- line depreciation method for tax purposes and macrs depreciation method financial reporting purposes