With financing-type leases, there is no sales revenue, only interest revenue earned from the debt financing.

Name: With financing-type leases, there is no sales revenue, only interest revenue earned from the debt financing.
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In financing-type leases, the lessor does not recognize sales revenue; instead, they recognize interest revenue over the lease term, reflecting the financial nature of the transaction as a loan rather than a sale.

With Financing-Type Leases, There Is No Sales Revenue, Only Interest