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

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A lease in which the lessor borrows the majority of the purchase price of a leased asset is called a leveraged lease. In a leveraged lease, the lessor uses the lease payments to repay the borrowed amount, and the lessee gets access to the asset without having to purchase it outright. Leveraged leases are often used for large, expensive assets like airplanes or manufacturing equipment.

If the Lessor Borrows the Majority of the Purchase Price