0
How do you account for a capital lease on a cash flow statement?
Wiki User
∙ 9y ago
capital lease is part of cash flow from investing activities and payment in this regard is shown in this section of statement.
Wiki User
∙ 9y ago
Add your answer:
Earn +20 pts
Is cash account temporary account?
No cash account is a permanent account. as u treated cash as a debit element in General journal against of Capital. Capital is a permanent account so cash too.
Does capital reserve affect cash flow statement?
NO
What is the journal entry of commenced business with a cash capital in tally?
[Debit] Cash / bank [Credit] Capital account
What is the journal entry when the owner transfers cash from a personal bank account to an account to be used for business?
debit- cash transfer to the account / credit- owner capital
What is the Difference between sales type lease and capital lease?
Capital lease is that lease in which assets are acquired for substantial useful life of asset for use in business. Sale type lease is that in which discounted cash flow for miminum lease payment is higher than value of leased asset and only relevant to lessor.
What category does Paid-in Capital fall into on the Cash flow statement?
Paid in capital is shown under cash flows from financing activities in cash flow statement.
How do you make a financial statement?
there are 3 financial statements basically: Income Statement takes into account for income,expenses and hence profits shows performance of the company Balance Sheet takes into account for assets,liabilities and capital shows position of the company Cash Flow Statement takes into account all cash in and cash out shows cash n liquidation status of the company
Do you include capital in cash flow statement?
yes changes in capital is shown in cash flow from financing activities in cash flow statement.
Is cash account temporary account?
No cash account is a permanent account. as u treated cash as a debit element in General journal against of Capital. Capital is a permanent account so cash too.
Does capital reserve affect cash flow statement?
NO
How do you report Capital Expenditures in a cash flow statement?
Capital expenditure is shown under cash flow from investing activities as a cash outflow.
What is the entry for capital account?
Cash A/c....................DR To Capital A/c
Are cost of capital and marginal tax rate included on a cash flow statemnt?
Capital lease payments will affect cash flow from both operating activities and financing activities. A capital lease payment is treated as debt service. The portion of the payment applied to principal is a cash outflow from financing activities, and the portion applied to interest is a cash outflow from operating activities.
What is the journal entry of commenced business with a cash capital in tally?
[Debit] Cash / bank [Credit] Capital account
What are the effect of direct financing lease receipts on cash flow statement?
i dont know hahahaha
How do you account for Issued Share Capital?
[Debit] Cash / bank xxxx [Credit] Share capital account xxxx
What is the journal entry when the owner transfers cash from a personal bank account to an account to be used for business?
debit- cash transfer to the account / credit- owner capital
