Operating leases are commonly referred to as ________ while capital leases are also known as ________ leases.

Name: Operating leases are commonly referred to as ________ while capital leases are also known as ________ leases.
Brand: Quizplus
Rating: 5.0 (52 reviews)

Question

Quizplus · Accepted Answer

Operating leases are off-balance sheet leases as they are not recorded as assets or liabilities on the balance sheet. Capital leases, on the other hand, are recorded as both assets and liabilities on the balance sheet and are also known as on-balance sheet leases.

Operating Leases Are Commonly Referred to as ________ While Capital