The FASB agrees with the capitalization approach and requires companies to capitalize all long-term leases.
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Q1: Leasing equipment reduces the risk of obsolescence
Q2: Direct-financing leases are in substance the financing
Q3: Both a guaranteed and an unguaranteed residual
Q4: Under the operating method, the lessor records
Q5: In computing the annual lease payments, the
Q7: The gross profit amount in a sales-type
Q8: When the lessee agrees to make up
Q9: The primary difference between a direct-financing lease
Q10: From the lessee's viewpoint, an unguaranteed residual
Q11: Executory costs should be excluded by the
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