Which of the following statements is not true of a financial lease?
A) It can be cancelled after the equipment is no longer needed
B) It is a source of financing
C) It is binding obligation for the lessee
D) It lessee has the asset for most of its economic life
Correct Answer:
Verified
Q6: Which one of the following conditions is
Q7: Financial leases are a source of financing
Q8: In a direct lease arrangement:
A)The lessee selects
Q9: Off-balance sheet financing implies that:
A)Leases would be
Q10: In a net lease:
A)The lessee pays for
Q12: Lease standardization helps justify leasing because:
A)It makes
Q13: Short-term leases are convenient but:
A)Often expensive for
Q14: Sale and lease-back leases involve:
A)Real estate transactions
Q15: Debt-rating agencies take financial and operating leases
Q16: Financial leasing is only justified by one
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