The following are sensible reasons for leasing:
I. short-term leases are convenient
II. standardization leads to low administrative and transaction costs
III. lease cancellation options are valuable
IV. tax shields can be used

Question

Quizplus · Accepted Answer

Leasing can be advantageous for all the reasons listed: short-term leases offer flexibility, standardization reduces costs, cancellation options add value, and tax shields can be beneficial.

The Following Are Sensible Reasons for Leasing