Creative negotiation techniques that establish deal structure such as offering owner financing , a lease option, or taking back a vehicle in lieu of a deposit, typically occur during which part of negotiation?
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Creative negotiation techniques that establish deal structure such as offering owner financing , a lease option, or taking back a vehicle in lieu of a deposit, typically occur during which part of negotiation?
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- Define purchase commitments. What is the advantage(s) of these agreements to buyers?Which one of the following is true about a firm commitment? Select one: a. A firm commitment is a contract that allows both the buyer or seller an option to engage (or not) in a long-term transaction. b. A firm commitment is a transaction that has already occurred and the commitment to pay or receive payment is pending. c. A firm commitment occurs as a result of a historical relationship and there is an expected commitment to engage in a transaction in the future. d. A firm commitment is an agreement with legally enforceable termsWhich of the following is true about forward contracts? a. The party that agrees to buy the asset is said to be in a short position. b. The party that agrees to sell the asset is said to be in a long position. c. The specified, fixed price in the contract is known as the forward rate. d. A forward contract requires an initial deposit of funds with the transacting broker.
- Which of the following is an example of faithful representation? A Showing lease payments as a rental expense B Being prudent by recording the entire amount of a convertible loan as a liability C Creating a provision for staff relocation costs as part of a planned restructuring D Recording a sale and repurchase transaction with a bank as a loan rather than a saleWhen a company sells an asset and simultaneously leases it back, what criteria must be met to apply saleleaseback accounting rather than accounting for the transaction as a loan ?please explain why the option is correct and remaining incorrect Under IFRS 2, with respect to choice-of-settlement share-based payments, if it is the entity that has the right to choose between equity settlement and cash settlement, when must the entity choose the cash settlement? Group of answer choices If the entity has a present obligation to settle in cash If the supplier provides goods The entity always has the option to choose either method. If the supplier provides services
- Which of the following is true about forward contract expiration? a.A deliverable forward contract stipulates that the short will pay the agreed-upon price to the long, who in turn will deliver the underlying asset to the short. b.Under cash settlement, it permits the short to pay the net cash value of the position on the delivery date. c.Under cash settlement, it permits the long to pay the net cash value of the position on the delivery date. d.Under cash settlement, it permits the long and short to pay the net cash value of the position on the delivery date.A contract to sell is the same as a conditional contract of sale. Do you agree? Explain your answer.Choose the correct. When negotiating a business acquisition, buyers sometimes agree to pay extra amounts to sellers in the future if performance metrics are achieved over specified time horizons. How should buyers account for such contingent consideration in recording an acquisition?a. The amount ultimately paid under the contingent consideration agreement is added to goodwill when and if the performance metrics are met.b. The fair value of the contingent consideration is expensed immediately at acquisition date.c. The fair value of the contingent consideration is included in the overall fair value of the consideration transferred, and a liability or additional owners’ equity is recognized.d. The fair value of the contingent consideration is recorded as a reduction of the otherwise determinable fair value of the acquired firm.
- which one is correct please confirm? Q4: Options are contracts that give the purchasers the option to buy or sell an underlying asset the obligation to buy or sell an underlying asset. the right to hold an underlying asset. the right to switch payment streams.Differentiate between an operating lease, acapital (or financial) lease, and a sale andleaseback arrangement. How would the pastaccounting treatment of leases mislead investorsand what rules have been put in place to mitigatethis problem?(Based on Appendix 9) Define purchase commitments. What is the advantage(s) of these agreements to buyers?