By Leasing an Asset for Less Than 75% of Its

question 79

True/False

By leasing an asset for less than 75% of its economic life or less than 90% of its fair market value, a company may avoid classifying the lease as a capital lease.

---

Definitions:

Personalized Sweatshirts

Custom-made sweatshirts tailored to include specific designs, names, or emblems as requested by the purchaser.

Disavow the Contract

The act of denying any responsibility or support for the contract, thereby seeking to void the agreement.

Identified to the Contract

Identified to the Contract refers to goods that have been designated as the subject of a sales or service contract.

Revised UCC Article 1

refers to updates or changes made to the first article of the Uniform Commercial Code, which governs sales and commercial transactions in the United States.