You Are Less Likely to Be Misled by a Graph

question 29

Multiple Choice

You are less likely to be misled by a graph if you:

• A)Concentrate on the numbers rather than the form of the graph.
• B)Pay more attention to the graph's caption than to the graph itself.
• C)Ignore the scales used on the axes.
• D)None of these choices.

Understand how leasing transfers uncertainty about asset value and future market conditions from the lessee to the lessor.

Determine the after-tax costs or savings associated with leasing equipment, including lease payments and tax impacts.

Examine factors affecting the residual value of assets and their relevance in leasing decisions.

Consider the strategic financial planning aspects of leasing regarding asset capitalization and balance sheet management.