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When a Capital Lease Is Used to Lease Fixed Assets

Question 11

Multiple Choice

When a capital lease is used to lease fixed assets for the general government,the governmental fund acquiring the fixed assets debits ________ at the ________.


A) expenditures;future value of the minimum lease payments
B) fixed assets;future value of the minimum lease payments
C) expenditures;present value of the minimum lease payments
D) fixed assets;present value of the minimum lease payments

Correct Answer:

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