Which of the following applies to leveraged leases?
a. Leveraged leases are a special type of operating lease involving three parties.
b. The lessor acquires an asset to be leased by borrowing money from a third party.
c. From a lessor’s viewpoint, this type of lease is not any different from other leases.
d. The FASB concluded in SFAS No. 13 that the financing-type lease plus debt transaction analogy was adequate to report leveraged leases.
ANSWER: B
You might also like to view...
Which of the following statements is true?
a. The fixed asset ratio is not useful for comparing different companies. b. A smaller fixed asset turnover ratio is associated with firms that are more labor intensive and require smallerfixed asset investments. c. The fixed asset ratio cannot be compared across time for an individual company. d. A larger fixed asset turnover ratio is associated with firms that are more labor intensive and require smallerfixed asset investments.
The most straightforward, effective method of obtaining commitment is the benefit summary method.
Answer the following statement true (T) or false (F)
What is meant by a hierarchical database?
What will be an ideal response?
An n × m matrix, when multiplied by an m × n matrix, yields an n × n matrix
Indicate whether the statement is true or false