Firms must disclose in notes to the financial statements the cash flows associated with capital leases and with operating leases for each of the succeeding _____ years and for all years after _____ years in the aggregate.
A)two: two
B)three; three
C)four; five
D)five; five
E)six; six

Question

Quizplus · Accepted Answer

Firms are required to disclose in the notes to their financial statements the cash flows associated with capital leases and operating leases for each of the succeeding five years and for all years after five years in the aggregate. This requirement is part of the effort to provide transparency regarding a company's future financial obligations.

Firms Must Disclose in Notes to the Financial Statements the Cash