With an operating lease, ________.
A) the lessee records rent expense and the lessor records rent revenue
B) the lessee records interest expense and the lessor records interest revenue
C) the lessee records rent expense and the lessor records interest revenue
D) the lessee records depreciation expense and the lessor records rent revenue

Question

Quizplus · Accepted Answer

In an operating lease, the lessee records rent expense as they pay for the use of the asset, and the lessor records rent revenue as they receive payment for leasing out the asset.

With an Operating Lease, ________