In Determining If the Risk and Rewards of Ownership Have

question 65

Multiple Choice

In determining if the risk and rewards of ownership have been transferred,AASB 117 states the following would indicate a finance lease is in effect:

• A) Ownership of the assets transfers at the end of the lease term for a variable payment equal to its then fair value.
• B) Contingent rents exist.
• C) The lease is non-cancellable by the lessor.
• D) The lease term is for a major part of the economic life of the asset.
• E) All of the given answers.

---

Definitions:

Psychological Processes

Internal mental activities that underlie human behavior and function, such as perception, memory, and decision-making.

Hindbrain

The posterior part of the brain that includes the cerebellum and brainstem, involved in regulating basic life functions, movement, and maintaining balance.

Midbrain

A central part of the brainstem that plays a key role in vision, hearing, motor control, sleep/wake, arousal, and temperature regulation.

Forebrain

The anterior part of the brain, including the cerebrum and structures connected with it, responsible for complex behavioral and cognitive functions.