A non-cancellable lease,which transfers the risks and rewards associated with asset ownership,can still be terminated early with the permission of the lessor.

Question

Quizplus · Accepted Answer

Although a non-cancellable lease transfers the risks and rewards of asset ownership to the lessee, it can still be terminated early with the permission of the lessor. This means that the lessor has the authority to cancel the lease agreement before the end of the lease term if they agree to do so with the lessee. Therefore, option A is correct.

A Non-Cancellable Lease,which Transfers the Risks and Rewards Associated with Asset