If a Company Made the Following Entry $\begin{array} { l } \text {Dr. Asset under lease (A) }&xx\\ \text {\( \mathrm{Cr} \). Lease obligation (L) }&&xx\\\end{array}$

question 16

Multiple Choice

If a company made the following entry: $\begin{array} { l } \text {Dr. Asset under lease (A) }&xx\\ \text {\( \mathrm{Cr} \) . Lease obligation (L) }&&xx\\\end{array}$

Under IFRS, what type of lease do they have?

• A)Capital lease
• B)Finance lease
• C)Operating lease
• D)Sales-type lease

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Definitions:

Held

A legal term referring to a court's decision or ruling on a particular case or legal question.

Mothering

The act and practice of raising and nurturing children, often implying the emotional and logistical aspects of caregiving.

Connectiveness

A term expressing the quality or state of being connected or interconnected with others or various parts.

Isolated Individuals

Persons who are separated from others, often referring to those who are in solitary confinement or live in seclusion.