Which of the following correctly states a lessee criterion for classifying a lease as a capital lease?
A) The lessee guarantees the residual value.
B) The sum of the lease payments exceeds 90% of the fair value of the asset.
C) The asset is the property of the lessor at the end of the lease term.
D) The lease term is equal to 75% or more of the estimated economic life of the leased asset.
D
You might also like to view...
U.S. GAAP and IFRS permit firms to remeasure inventories upward to an amount exceeding their acquisition cost
Indicate whether the statement is true or false
Discussion of salary is meaningful until before a mutually successful interview
Indicate whether the statement is true or false
________ is inventory that is used to help protect against stockouts
Fill in the blank with correct word.
Employers can require employees to participate in any religious activity.?
Indicate whether the statement is true or false