For the Lessor to Recognize a Lease as a Sales-Type

For the lessor to recognize a lease as a sales-type lease, under ASC 842, the following must occur.

A) At least one of the finance lease criteria is met, at least one of the certainty criteria is met, and there is a manufacturer or dealer's profit.
B) At least one of the finance lease criteria is met.
C) More than one of the finance lease criteria are met, both certainty criteria are met, and there is a manufacturer or dealer's profit.
D) Only one of the finance lease criteria is met, both certainty criteria are met, and there is a manufacturer or dealer's profit.