In a short-term lease, the lessor retains the risks and obligations of ownership.

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In a short-term lease, the lessor indeed retains the risks and obligations of ownership. This means that while the lessee has the right to use the asset for the lease term, the lessor remains responsible for any risks associated with owning the asset. These risks can include depreciation, obsolescence, and maintenance costs. Additionally, the lessor is typically responsible for insuring the asset and may also be liable for property taxes, depending on the terms of the lease and local regulations.

In a Short-Term Lease, the Lessor Retains the Risks and Obligations