All of the Following Statements Regarding Leases Are True Except

question 94

Multiple Choice

All of the following statements regarding leases are true except:

• A)For a capital lease the lessee records the leased item as its own asset.
• B)For a capital lease the lessee depreciates the asset acquired under the lease,but for an operating lease the lessee does not.
• C)Capital leases create a long-term liability on the balance sheet,but operating leases do not.
• D)Capital leases do not transfer ownership of the asset under the lease,but operating leases often do.
• E)For an operating lease the lessee reports the lease payments as rental expense.

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Definitions:

Biological Differences

The physical and genetic variations that distinguish organisms, including humans, from one another, such as differences in DNA, physiology, and anatomy.

Essentialism

is the belief that objects, individuals, or concepts have a set of essential attributes that define their identity.

Breadwinners

Individuals, traditionally men, who are the primary providers of financial support for their families.

Homemakers

Individuals who manage household duties including caring for family members, cleaning, and cooking, often without receiving formal wages.