The minimum lease payment is defined as including all of the following components except:
A) bargain purchase option;
B) contingent rentals;
C) a guaranteed residual value;
D) the lease payments occurring over the lease term.

Question

Quizplus · Accepted Answer

Contingent rentals are not included in the minimum lease payments because they are dependent on the occurrence of a future event or situation, such as usage exceeding a specified amount. The other options (A, C, D) are standard components of minimum lease payments.

The Minimum Lease Payment Is Defined as Including All of the Following