CAPITAL LEASES with URV LESSEE AMORTIZATION TABLE:
Pmt # Origin 2/x1 1 2/x2 2 2/x3 Totals
Beg PV Bal 27,250 13,164 0
Total Pmt 14,086 14,086 0 28,172
Interest 0
768
Principal 14,086 13,164 0 27,250
End PV Bal 13,164 0 0
922 0 922
LESSOR AMORTIZATION TABLE:
Pmt # Origin 2/x1 1 2/x2 2 2/x3 Totals
Beg PV Bal 30,000 15,915 3,102
Total Pmt 14,086 14,086 3,350 31,522
Interest 0
1,061
Principal 14,086 12,813
207
End PV Bal 15,915 3,102 0
1,273 248 1,521
3,102 30,000
SALES TYPE CAPITAL LEASES - F/S PRESENTATION YEAR 1 LESSEE:
YEAR 2
YEAR 3
B/S
PPE Leased Property
15,896 768 13,164
2,271
CL Int Pay Curr Lease Liab I/S Op X Depr X Other Int X CF: Ops Int Paid Investing PPE Financing Lease Origin Principal Pmts
LESSOR:
11,354 768
13,625 154 (922)
2,271
(27,250) 27,250 (14,086) (13,164)
B/S
CA Inventory Curr Lease Rec LTA Lease Rec
13,874 3,102 27,128 21,988 1,061
3,309
2,000
I/S
Net Rev COGS Other Int Rev Loss on URV
419
41 1,350
CF
Ops Int Rec’d Principal Rec’d
14,086
1,273 12,813
SALES TYPE CAPITAL LEASES - F/S PRESENTATION YEAR 1 LESSEE:
YEAR 2
ALT SOLUTION YEAR 3
B/S
PPE Leased Property CL Int Pay Curr Lease Liab
15,896 768 13,164
2,271
I/S Op X Depr X Other Int X CF: Ops Int Paid Investing PPE Financing Lease Origin Principal Pmts
LESSOR:
11,354 768
13,625 154
2,271
(922) (27,250) 27,250 (14,086)
(13,164)
B/S CA Inventory Curr Lease Rec LTA Lease Rec I/S Net Rev COGS Other Int Rev Loss on URV CF 2,000 13,874 3,102 27,128 21,988 1,061 419 41 1,350 3,309
Ops Int Rec’d Principal Rec’d 14,086 Adj to Int & Princ Rec’d Inventory
1,273 12,813
248 3,102 (1,350) (2,000)
OPERATING LEASE – FINANCIAL PRESENTATION YEAR 1 LESSEE: YEAR 2 YEAR 3
B/S I/S
CA Prepaid Rent Op Exp Rent Exp Ops Rent Paid
2,285
13,707 * 2/12
2,285 13,707 2,285
13,707 * 2/12
11,423
13,707 * 10/12
CF
(13,707)
(13,707)
LESSOR:
B/S
PPE, net CL Rent Advances
17,954
24,860 – 6,906
9,667 2,285 13,707 8,287 13,707
8,286
2,285
I/S
Net Rev or Other Rev & Exp Rent Rev 11,423 Op Exp Depr Exp 6,906
24,860 / 3 * 10/12
2,285 1,381
24,860 / 3 * 2/12
CF
Ops Rent Rec'd
13,707
CAPITAL LEASES with URV Lessor BV at inception: 24,860 FMV at lease inception: 30,000 FMV at end of lease term: 2,000 Lessor Rate: 8% Known? yes Lessee Rate: 7% Collectible/Costs Known? yes/yes TYPE OF LEASE CHECK: 1. Title transfer? 2. BPO? 3. Lease term >= 75% of economic life? 4. PV of MLP >= 90% of FMV? WHAT IF THE URV IS GUARANTEED BY A 3RD PARTY INSURER? COMPUTATIONS: Lease Inception: Lease term: Economic life: GRV: URV: Deprec SV: 2/28/x1 2 yrs 3 yrs 4,200 Annual Pmt: 13,707 Exec Costs in Pmt: Date 1st Pmt: 2/28/x1 BPO: BPO Exercise Date: Title Transfer?no
AMORTIZATION TABLE:
LESSOR ONLY
Pmt # Origin 2/x1 1 2/x2 2 2/x3 Totals
Beg PV Bal 30,000 16,292 3,889
Total Pmt 13,707 13,707 4,200 31,614
Interest 0
1,086
Principal 13,707 12,404
End PV Bal 16,292 3,889 0
1,303
259
311 1,614
3,889 30,000
OPERATING and SALES TYPE CAPITAL LEASES - F/S PRESENTATION What if $4,200 URV is guaranteed by a 3rd party insurer? LESSEE CLASSIFIES IT AS OPERATING. LESSOR CLASSIFIES IT AS CAPITAL SINCE URV FUNCTIONS LIKE A GRV. YEAR 1 LESSEE: YEAR 2 YEAR 3
B/S I/S
CA Prepaid Rent Op Exp Rent Exp Ops Rent Paid
2,285
13,707 * 2/12
2,285 13,707 2,285
13,707 * 2/12
11,423
13,707 * 10/12
CF
(13,707)
(13,707)
LESSOR:
B/S
CA Inventory Curr Lease Rec LTA Lease Rec
13,490 3,889 26,399 21,259 1,086
4,148
2,000
I/S
Net Rev COGS Other Int Rev
476 1,303 12,404
52
CF
Ops Int Rec’d Principal Rec’d Cash from URV
13,707
2,200
From 3rd party