Wayne Technical Corporation Signed a Lease for Equipment, Which Requires

Wayne Technical Corporation signed a lease for equipment, which requires lease payments of $50,000 per year for four years. The equipment has an estimated useful life of 7 years. This lease would be a capital lease if:

A) the equipment is leased for 4 years.
B) the present value of the lease payments equals $150,000 and the fair value of the equipment is $200,000.
C) title to the equipment does not transfer to the lessee at the end of the lease term.
D) the lease agreement allows Wayne to purchase the equipment for $5 at the end of the lease.