In an operating lease, the lessee records
A) Amortization expense and lease expense.
B) Interest expense.
C) Lease expense.
D) Amortization expense.

Question

Quizplus · Accepted Answer

In an operating lease, the lessee records lease expense, which represents the amount paid to the lessor for the use of the asset. The lessor continues to own the asset, and the lessee does not record amortization expense or interest expense as these are the lessor's responsibilities.

In an Operating Lease, the Lessee Records