A Direct Financing Lease Differs from a Sales-Type Lease in That

question 75

Multiple Choice

A direct financing lease differs from a sales-type lease in that

• A)the direct financing lease does not have a dealer profit, although it may have a dealer loss
• B)the direct financing lease provisions cannot include a bargain purchase option
• C)the sales-type lease does not have unearned interest income at the inception of the lease
• D)the direct financing lease does not have a dealer profit or loss

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Definitions:

Epididymis

A coiled tube located at the back of the testicle that stores and carries sperm.

Neuroblastoma

A cancer that develops from immature nerve cells found in several areas of the body and is most commonly seen in children.

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The spread of cancer cells from the original site of the disease to other parts of the body through the bloodstream or lymphatic system.

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An abnormal and often uncontrollable growth of cells in the brain that can disrupt normal brain function.