From the Lessee's Viewpoint, All of the Following Are Advantages

question 98

Multiple Choice

From the lessee's viewpoint, all of the following are advantages of leasing except that

• A)if a lease is recorded as a capital lease, the calculated rate of return on the total assets ratio and the current ratio will be improved
• B)a lease agreement may reduce the risk of obsolescence for a lessee
• C)in many cases, an asset may be leased without requiring the lessee to make a substantial down payment
• D)the lessee may be able to claim larger tax deductions through leasing the asset than if the asset were purchased

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Definitions:

Electrical Signal

A form of signal in which electric current or voltage represents the information being transmitted.

Neuron

A neuron is a nerve cell that is the basic building block of the nervous system, involved in the transmission of electrical impulses.

Agonist

A chemical or drug that binds to receptors in the brain and causes a biological response.

Neurotransmitter

Neurotransmitters are chemical messengers that transmit signals across synaptic gaps between neurons, influencing various bodily functions and behaviors.