The Owner of an Asset in a Leasing Arrangement Is

question 191

Multiple Choice

The owner of an asset in a leasing arrangement is called the _____________.

• A) lessee
• B) lessor
• C) guarantor
• D) trustee
• E) manager

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Definitions:

Negative Externalities

Costs that are suffered by a third party as a result of an economic transaction or activity, for which they are not compensated.

Tobacco Industry

The sector of the economy involved in the manufacture, marketing, and sale of tobacco and related products.

Corrective Tax

A tax designed to encourage or discourage certain behaviors to correct for the effects of externalities.

Socially Optimal

A state of resource allocation that is most beneficial for society as a whole.