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Ch4 Additional Problem
Ch4 Additional Problem
Ch4 Additional Problem
JOURNAL ENTRIES
ACC. CHANGE
DATE ACCOUNT TITLE Dr. Cr.
TYPE DIRECT.
JOURNAL ENTRIES - TENANT
ACC. CHANGE
DATE ACCOUNT TITLE Dr. Cr.
TYPE DIRECT.
b. Both companies’ net income for the year X1 would have been the same
c. Landlord’s operating cash flow for the year X2 would have been higher
e. On December 31st X1, neither company would have recorded any entries
f. On Tenant’s balance sheet for the year X1, total assets would have been higher
g. On Landlord’s balance sheet for the year X1, total assets would have been lower
a. On Landlord’s balance sheet for the year X2, Cash would have been the same
JOURNAL ENTRIES - TENANT
ACC. CHANGE
ACCOUNT TITLE Dr. Cr.
TYPE DIRECT.