Depreciation Expense Will Be Recorded in the Accounts of the Lessee

question 50

Multiple Choice

Depreciation expense will be recorded in the accounts of the lessee and lessor for which type of leases? $\begin{array}{lll} & \text { Lessee} & \text { Lessor}\\\text { I. } & \text { operating } & \text { direct financing } \\\text { II. } & \text { capital } & \text { operating } \\\text { III. } & \text { operating } & \text { operating } \\\text { IV. } & \text { capital } & \text { sales-type }\end{array}$

• A)I
• B)II
• C)III
• D)IV

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Definitions:

Lytic Pathway

Bacteriophage replication pathway in which a virus immediately replicates in its host and kills it.

Viral DNA

The genetic material of a virus that is composed of DNA rather than RNA.

Circular Chromosome

A type of chromosome common in bacteria, characterized by its circular form, which contains the genetic information needed for the organism’s survival and reproduction.

Histones

Proteins around which DNA winds, forming a complex structure known as chromatin, which helps in the organization and regulation of genes.