The most straightforward method for making lessees' balance sheet data comparable is to treat all leases as if they were
A)operating leases.
B)capital leases.
C)direct financing capital leases.
D)sales-type capital leases.

Question

Quizplus · Accepted Answer

Treating all leases as capital leases (also known as finance leases under newer accounting standards) is the most straightforward method for making lessees' balance sheet data comparable. This approach requires recognizing the leased asset and a corresponding liability on the balance sheet, providing a clearer picture of a company's financial obligations and assets.

The Most Straightforward Method for Making Lessees' Balance Sheet Data