If a Sale and Leaseback Transaction Results in a Finance

question 3

Multiple Choice

If a sale and leaseback transaction results in a finance lease,any excess of sales proceeds over the carrying amount shall:

• A)be deferred but not amortised over the lease term
• B)be immediately recognised as an expense by a seller- lessee
• C)not be immediately recognised as income by a seller- lessee
• D)be immediately recognised as income by a seller- lessee

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Definitions:

Reflexes

are involuntary and nearly instantaneous movements in response to stimuli, which demonstrate the functioning of the nervous system.

Fixed-ratio Schedule

A reinforcement schedule in operant conditioning where a response is rewarded only after a specified number of responses, promoting a high and steady response rate.

Variable-interval Schedule

A reinforcement schedule in which a response is rewarded after an unpredictable amount of time has passed, which is used in operant conditioning.

Individual Webpage

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