Which of the Following Is an Explanation

question 86

Multiple Choice

Which of the following is an explanation?

• A)He straightened his tie carefully, as he did every morning.
• B)Since cheerleading is physically demanding, it should be considered a sport.
• C)Since the blizzard of 2002, it has never snowed in our town.
• D)The boss always rewards hard work, but punishes laziness.
• E)Amanda was able to buy a new car because she got a promotion at work.

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Definitions:

Bargain Purchase Option

A lease provision allowing the lessee to purchase the leased asset at the end of the lease term at a price significantly lower than the expected fair market value.

Minimum Periodic Rental

In leasing agreements, it refers to the lowest amount that the lessee must pay over a specified period.

Capital Lease

A lease agreement that is considered a purchase of an asset for accounting purposes, with the lessee assuming both the benefits and risks of ownership.

Interest Expense

The cost incurred by an entity for borrowed funds, calculated as the principal times the interest rate over a period.