If the lessor borrows most of the purchase price of a leased asset,the lease is called a:

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A leveraged lease is when the lessor (the owner of the asset being leased) borrows most of the funds required to purchase the asset. This type of lease allows the lessor to finance a large portion of the cost while still keeping ownership of the asset. The lessee (the one using the asset) typically makes payments to the lessor, and the lessor uses those payments to repay the borrowed funds. The main advantage of a leveraged lease is that it allows the lessor to acquire an asset without putting a lot of their own capital at risk.

If the Lessor Borrows Most of the Purchase Price of a Leased