What is the correct classification of Land and Building for lease? Where do assets valued at?

Q: The lease of land and building when split causes difficulty in the allocation of the lease payments.…

A: Lease:   Lease is a contractual agreement whereby the right to use an asset for a particular period…

Q: Explain the ways in which property owners can structure leases in order to recover operating…

A: Leasing refers to acquiring an asset from a lessor in lieu of rental payments.

Q: How does the existence of leasehold improvements can affect the determination of the lease term?

A: Leasehold Improvements are referred to as any of the changes or improvements made to the rental…

Q: Explain the Basic Property Concepts Important in Real Estate Finance and Investment?

A: Financial prediction based on the analysis made by the real estate market which is helpful in the…

Q: Who will have control over the operation of the property and decisions involving capital…

A: Real estate properties refers to a tangible property. Real estate property is generally used to…

Q: Give an Examples of Leasehold Estates?

A: The question is based on the concept of lease, which is consider as special type of time bond…

Q: Why might the actual holding period for a property be different from the holding period that was…

A: The consideration while anticipating holding period: 1.The rental from the property. 2.The rate at…

Q: What does General requirements for loan closing of land development?

A: The last step in financing or buying any land is known as the closing of a loan. The term settlement…

Q: What factors might cause the highest and best use of real estate to change during the course of a…

A: The question is based on the concept of property lease, lease is a contractual arrangement  to use…

Q: Determine Lease Revenue?

A: Lease: Leases are agreements in which the proprietor of the asset permits another party to utilize…

Q: What situations cause us to remeasure a lease liability and right-of-use asset How is that…

A: Lease: Lease is a contractual agreement whereby the right to use an asset for a particular period of…

Q: lessee

A: Lease is a financial arrangement where the right to use the asset is given by the owner to another…

Q: What are the guidelines for determining when a material amount of land is involved in a lease?

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Q: Describe the qualitative and quantitative lease disclosure?

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Q: What are the classifications of lease?

A: Lease: Lease is a contractual agreement whereby the right to use an asset for a particular period of…

Q: Explain how an entity would initially and subsequently measure its right-of-use asset and lease…

A: Lease Liability: Initial measurement: The Lease Liability is initially measured at the present…

Q: What are the features of lease?

A: The features of lease arrangements are, Residual type, Sale type leases, Bargain purchase option,…

Q: Which movable assets those are not considered as leasehold improvements?

A: Lease: Lease is a contractual agreement whereby the right to use an asset for a particular period of…

Q: give the definition, recognition, measurement and derecognition of investment property

A: Speculation property are going to be property (tructure or part of a structure each) control (by the…

Q: What is the classification of operating lease?

A:

Q: What is the motivation for a sale-leaseback of the land?

A: Lease is the agreement between the two parties that is lesser and lessee where lesser allows the…

Q: Explain how the general classification criteria are applied to leases that involve land.

A: Financial Accounting Standards Board (FASB):  FASB is an independent 7-member board, of accounting…

Q: What is meant by “loss to lease”? Explain?

A: Loss to lease: It is the term used in Real Estate in leasing of property mainly apartment complexes,…

Q: Explain how risk-return trade-off works in relation to residential and commercial property…

A: The rate of return is the change in the price of an asset, investment, or project over time and can…

Q: Discuss the residual value of the leased asset. How does it impact the PV of rental payments…

A: Lease means a type of agreement in which one party gives its valuable assets to other party for a…

Q: Explain the lease contract.

A: Lease contract:   Lease is a contractual agreement whereby the right to use an asset for a…

Q: Identify the lease classifications for lessors and the criteriathat must be met for each…

A:

Q: equired: How much is the cost of the right of use asset at the inception of the lease? (All…

A: Answer: given Lease term…

Q: the property factor, leased property is generally valued at

A: A lease is an agreement to use an asset of another party for a fixed period of time in exchange for…

Q: Refer to the definition of assets on page 204. Discuss howa leased building might qualify as an…

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Q: Which should be debited when depreciating a leased asset? a. Lease Liability b. Non-current Asset c.…

A: Answer-  d . Depreciation expense Depreciating a leased asset is similar to a purchased fixed asset…

Q: Under what conditions should financing be explicitly considered when estimating the value of a…

A: Before buying a property, estimating its value is necessary. Because only after estimating the value…

Q: definition, recognition, measurement and derecognition of investment property.

A:

Q: What are the different arrangements for who pays the ongoing expenses related to a leased property?…

A: In this question, we will be discussing about different method of ongoing expenses related to a…

Q: What are the characteristics of operating lease?

A: Definition: Operating lease: Operating lease is the type of lease in which the lessor allows the…

Q: Why should a real estate listing contract be in writing and what are the essential elements of a…

A: Real estate contracts refer to legal aggreement between different parties. It is enforceable by law…

Q: Explain the basis for each of the criteria used to classify leases

A: Lease:   It is an agreement between two parties where the one party agrees to rent an asset owned by…

Q: Define the term NAL as it is used in lease analysis,and then explain how the NAL is calculated.

A: Net advantage to leasing (NAL) refers to the monetary savings or the money that a company or…

Q: Recall the definition of assets: probable economic benefits obtained or controlled by a particular…

A: Lease: It is a legal contract between two or more parties for renting a property, land, or any other…

Q: Which of the following is classified under PAS 16 - -Investment Property -Property Sold under a…

A: The following is classified under PAS 16::: Property Leased under a Finance Lease Agreement....

Q: Describe how to record lease revenue.

A: Lease: Lease is a contractual agreement whereby the right to use an asset for a particular period of…

Q: The generally accepted accounting principle that supports recording the value of a property at the…

A: Monetary principle says that a business should only record transaction if it is measured in monetary…

Leasing

Leasing is a contractual arrangement in which someone (a lessee) pays the owner (or lessor) of a building, land, vehicle, or other asset for the use of that asset. The lease is the agreement between lessee and lessor.