Why Lease Is Employed By Your Company

“The recent economic downturn has shined a light on several weaknesses in equipment lease documentation. One of the most notable has been the lack of a lessor’s ability

1. Analyze the questions associated with your chosen case study and discuss them using concepts you learned in this course.

We represent Thompson Laurie DiNoto, the Tenant, under that certain Residential Lease dated July 3, 2017. You are hereby notified that Mr. and Mrs. DiNoto rescinded the above-referenced Residential Lease under the terms of which they took occupancy of Lily Unit #127. This rescission is made on the ground that (1) the Premises are not in a tenantable condition; (2) the monthly rent charge of $7500 was substantially in excess of the advertised rate of $6,000 per month in violation of Business and Professions Code sections 17200 and 17500, as well as section 43(A) of The Lanham Act; (3) the Residential Lease is unlawful in that it omits required disclosures under federal and state law.

Research has been performed for your client to give informative information about leases and lease structures. Through this research there are three sub-types of leases from the standpoint of the lessor, which are direct financing leases, sales-type leases, and operating leases. The information found on the Financial Accounting Standards Board website pertaining to each type of lease will guide your client to making an appropriate decision regarding which type of lease will be beneficial to their company.

To classify the arrangement, ASC 840-10-25-29 states that “If at its inception a lease meets any of the four lease classification criteria in paragraph 840-10-25-1, the lease shall be classified by the lessee as a capital lease.” On the contrary, if none of the criteria is meet, the lease should be classified as an operating lease (ASC 840-10-25-30)

Upon researching the legal requirements and current status of Mr. William Massey’s lease agreement with YourTeamNameHere!.com, Inc. (YTNH) when Mr. Kelly Bennett acted on behalf of YTNH, as an authorized agent, in the acquisition of the property located at 1831 Storybook Road, Charlotte, North Carolina. The assessment of the contract’s validity will be completed through the following enumerated points: (1) whether the lease is required to be in writing, (2) what must the lease contain to be valid, and (3) whether the parties existing writings satisfy the legal requirements of North Carolina.

The determination of whether an arrangement is or contains a lease is based on the substance of the arrangement and requires an assessment of whether the fulfilment of the arrangement is dependent on the use of a specific asset or assets and whether the arrangement

While working on a consulting engagement, a supervisor in the team has given an assignment. The client is a regional trucking company. A new customer has approached the client with an opportunity that would require 120 trailers—20 more than the trucking company currently owns. The client is uncertain how long the relationship with the customer may last, but the deal has the potential for significant growth. The supervisor has asked a research to be conducted on leases and lease structure issues on the Financial Accounting Standards Board (FASB) website, in particular the current practice and thought related to direct financing, sales type, and operating leases. This paper is a memo addressed to the supervisor that summarizes

Residential tenants should be familiar with specific clauses that seek to eliminate protections afforded to tenants by California law. Under California’s Civil Code, certain provisions in a residential lease are unenforceable and a tenant may not waive these enumerated rights. Some of the common clauses to be aware of when reviewing a residential lease contract include:

3. What role does management judgment play in determining the lessee right-of-use asset and lease liability amounts?

According to Boeing’s most recent 10-K, the company states property, plant and equipment (PP&E) at $8,931 million which excludes all operating leases (Exhibit 1).  However, after making our adjustments we found an increase to PP&E of $1,509 million or 16.90 percent with the addition of operating leases stated in company’s footnotes of their 2010 annual report.  Boeing’s long-term debt also increased by 13.15 percent which demonstrates to investors that the company is significantly more risky after the conversion of operating leases.  These adjustments would also increase the company’s expenses in earlier years for any plant or equipment leased as capital leases are depreciated over time, therefore creating a decrease in net income in earlier years.

List the arguments you would use to persuade the Judge to rule in your favor.

The Washington Commercial Lease Agreement Form needs to be filled out by a business that wants to rent a commercial property in the state of Washington from a property owner. The commercial lease is used for the benefit of both the tenant and landlord. Having the terms and conditions agreed upon in writing ensures no complications in the future regarding the agreement and protects both parties. You will need to attach the floor plans for the commercial property in Exhibit A and attach the legal description of the land in Exhibit B. For example: If there is a strip mall with 5 percent up stores, One of the stores will be highlighted and specified in a map of the entire building and property. This document is governed by the laws of the State of Washington, specifically title 62A.2A RCW, which is the Uniform Commercial Code Article on Leases. It is also important to note that this document is only temporarily prepared for educational and institutional purposes and a legal consultant must be consulted before proceeding with the deal.

Apple’s annual report, as submitted to the United States Securities and Exchange Commission (SEC) on Form 10-K, lists its total assets as $47,501 for fiscal year 2009 and $75,183 for fiscal year 2010. Its largest asset for the same two years was $18,201 in short-term marketable securities in 2009 and $25,391 in long-term marketable securities in 2010. Accounts payable listed as $5,601 in 2009 and $12,015 in 2010. All figures are noted in millions (Apple, Inc. Annual Report). Apple does not report taxes collected from its customers that are paid to governmental authorities. Apple’s 2010 annual report lists cash, cash equivalents, and marketable securities valued in 2010 as $51,011 million and in 2009 as $33,992 million. Total current assets in the year of 2010 were $41,678 million and for the year ending 2009 were $31,555 million. Current assets are listed in the order

Apple had nearly $137 billion of cash at the end of Dec 2012. Over the past few years, the Company had been highly successful with the launch of the iPhone 3G in 2008, and which was followed by the launch of iPad in 2010. The Company enjoyed high profitability, and was able to keep its costs at a minimum. The gross margin on the iPhone was between 49% and 58% from October 2010 to March 2012, and the gross margin on the iPad was between 23% and 32% in the same time period. Apple’s capital structure included no debt; hence, there was no outflow of cash for making interest payments.