Examlex
Which of the following statements about the service encounter is true?
Bargain Purchase Option
An option in a lease agreement that allows the lessee to purchase the leased asset at a price significantly lower than its expected fair market value at the end of the lease term.
Executory Costs
Expenses related to ongoing maintenance and administration of a lease that are neither fixed nor included in the lease payments.
Annual Payments
Yearly amounts paid or received over the term of a financial instrument or agreement.
Lessor
The party in a lease agreement who owns the leased asset and grants the lessee the right to use the asset for a specified term in exchange for payment.
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