Solutions for Intermediate Accounting 12th Canadian Edition by McConomy (All chapters included).pdf

Kieso,mWeygandt,mWarfield,mYoung,mWiecek,mMcConomy m IntermediatemAccounting,mTwelfth mCanadian mEdition




CHAPTER 20 m




LEASES
Learning Objectives m



1. Understand the importance of leases from a business perspecti
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ve.
2. Explain the conceptual nature, economic substance, and advan
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tages of lease transactions.
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3. Calculate the lease payment that is required for a lessor to earn
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a specific return.
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4. Identify and apply the factors that are used to determine if a co
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ntract is or contains a lease under IFRS 16 and whether leases
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are capital or operating leases under the ASPE classification ap
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proach.
5. Account for right-of- m m


use assets by lessees under IFRS 16 and capital leases under
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ASPE.
6. Determine the effect of, and account for, residual values and pu
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rchase options for a lessee’s right-of-
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use asset (IFRS) or a capital lease (ASPE).
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7. Account for operating leases by lessees under ASPE (and short
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-term leases and low- m m m


value leases under IFRS 16) and compare the operating and ca
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pitalization methods of accounting by lessees.
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8. Determine the statement of financial position presentation of rig
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ht-of-
use assets (and ASPE capital leases) and identify other disclos
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ures required. m


9. Identify and apply the criteria that are used to determine the typ
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e of lease for a lessor under the classification approach.
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SolutionsmManual mmmmmmm 20-1 mChapter m20

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hibited.

, Kieso,mWeygandt,mWarfield,mYoung,mWiecek,mMcConomy m IntermediatemAccounting,mTwelfth mCanadian mEdition




Learning Objectives m




10. Account for and report basic financing and manufacturer/dealer
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or sales-type leases by a lessor.
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11. Account for and report financing and manufacturer/dealer or sal
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es-
type leases, with guaranteed residual values or a purchase opti
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on, by a lessor.
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12. Account for and report operating leases by a lessor.
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13. Identify differences in accounting between IFRS and ASPE, an
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d what changes are expected in the near future.
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14. Describe and apply the lessee’s accounting for sale-
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leaseback transactions and the accounting treatment for leases
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that involve real estate.
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SolutionsmManual mmmmmmm 20-2 mChapter m20

Copyrightm©m2019mJohnmWiley m&mSonsmCanada,mLtd.mmUnauthorizedmcopying,mdistribution,mor mtransmission mof mthismpagemismstrictly mpro
hibited.

, Kieso,mWeygandt,mWarfield,mYoung,mWiecek,mMcConomy m IntermediatemAccounting,mTwelfth mCanadian mEdition




Summary of Questions by Learning Objectives and Bloom’s Taxonomy
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Item LO BT Item LO BT Item LO BT Item LO BT Item LO BT
BriefmExercises
1. 4 AP 6. 5 AP 11. 6 AP 16. 4,11 AP 21. 14 AP
2. 4,7 AP 7. 3 AP 12. 6 AP 17. 4 AP 22. 14 AP
3. 4 AP 8. 5 AP 13. 6 AP 18. 11 AP 23. 14 AP
4. 4 AP 9. 5 AP 14. 9,10 AP 19. 11 AP
5. 4,7 AP 10. 6 AP 15. 9,10 AP 20. 14 AP
Exercises
1. 4,5,8 AP 6. 3,4,6,8 AP 11. 4,7 AP 16. 4,7 AP 21. 14 AP
2. 4,8 AP 7. 4,6 AP 12. 3,11 AP 17. 9,10 AP
3. 4,5,6,11 AP 8. 4,5,8 AP 13. 9,10,11 AP 18. 14 AP
4. 6,9,10,11 AP 9. 4,5,9,10,13 AP 14. 5,6,9,11 AP 19. 14 AP
5. 3,5,8 AP 10. 4,7 AP 15. 3,10,11 AP 20. 14 AP
Problems
1. 1,4,6,7 AP 6. 4,5,7,8,12 AP 11. 9 AP 16. 4,6 AP 21. 3,4,5,6,7,8 AP
2. 4,5,6 AP 7. 4,5,6,8 AP 12. 4,5,6,8,11 AP 17. 9,11,13 AP 22. 9,12 AP
3. 4,5,6,8 AP 8. 4,5,6 AP 13. 4,8,9,10,11 AP 18. 3,11,12 AP 23. 14 AP
4. 9,11 AP 9. 4 AP 14. 5,8 AP 19. 4,8 AP 24. 14 AP
5. 3,4,5,6,11,12 AP 10. 5 AP 15. 9,11 AP 20. 3,4,5,6,8,9 AP
Cases
1. 2. 3.
ResearchmandmAnalysis
1. 3. 4. 5. 6.
2.




SolutionsmManual mmmmmmm 20-3 mChapter m20

Copyrightm©m2019mJohnmWiley m&mSonsmCanada,mLtd.mmUnauthorizedmcopying,mdistribution,mor mtransmission mof mthismpagemismstrictly mpro
hibited.

, Kieso,mWeygandt,mWarfield,mYoung,mWiecek,mMcConomy m IntermediatemAccounting,mTwelfth mCanadian mEdition




Summary mofmLegend:mThemfollowing mabbreviations mwillmappearmthroughout
mthemsolutions mmanual mfile.




LO Learning mobjective m

BT Bloom's mTaxonomy m
m
K Knowledge m


m
C Comprehension
m
AP Application m


m
AN Analysis m


m
S Synthesis m


m
E Evaluation m

Difficulty: Levelmofmdifficulty m


m
S Simple m


m
M Moderate m


m
C Complex m

Time: Estimatedmtimemtomcompleteminmminutes
AACSB AssociationmtomAdvancemCollegiatem Schools mofmBusiness
m
Communication Communication
m
Ethics Ethics
m
Analytic Analytic
m
Tech. Technology
m
Diversity Diversity
m
Reflec.mThinking ReflectivemThinking
CPAmCM CPAmCanadamCompetency mMap
m
Ethics ProfessionalmandmEthicalmBehaviour
Problem-Solving mandmDecision-
m
PSmandmDM Making
m
Comm. Communication
m
Self-Mgt. Self-Management
m
Teamm&mLead Teamwork mandmLeadership
m
Reporting FinancialmReporting
m
Stat.m&mGov. Strategy mandmGovernance
m
Mgt.mAccounting ManagementmAccounting
m
Audit AuditmandmAssurance
m
Finance Finance
m
Tax m Taxation
SolutionsmManual mmmmmmm 20-4 mChapter m20

Copyrightm©m2019mJohnmWiley m&mSonsmCanada,mLtd.mmUnauthorizedmcopying,mdistribution,mor mtransmission mof mthismpagemismstrictly mpro
hibited.