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You Are Interested in Leasing an Automobile for Your Company

Question 73

Multiple Choice

You are interested in leasing an automobile for your company.You find that the lessor is offering you a 5-year lease on a car when the economic life on this car is considered to be 5.5 years.What type of lease must this be classified as if you agree to the terms?


A) lease and saleback
B) capital lease
C) operating lease
D) lease of convenience

Correct Answer:

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