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Which of the Following Is Not a Motivation for Leasing

Question 18

Multiple Choice

Which of the following is not a motivation for leasing an asset instead of purchasing the asset?


A) Can be tax advantages to leasing if it is a capital lease
B) Can have use of the asset with less money down than purchasing the asset
C) Sometimes there are better financing terms associated with a lease resulting in lower costs
D) Do not have to pass a credit check if leasing, when one would have to have a credit check if purchasing
E) May not have to show the asset or associated liability on the balance sheet, therefore making the company appear better than under a purchase

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