Which of the Following Is NOT a Criterion for Classifying

question 60

Multiple Choice

Which of the following is NOT a criterion for classifying a lease as a finance lease, from the lessee's point of view?

• A) The lease payments are more frequent than annually.
• B) Title to the lease passes to the lessee at the end of the lease.
• C) The lease term is for a major portion of the asset's economic life.
• D) Present value of the minimum lease payments is equal to substantially all of the FV of the asset.

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