Which of the Following Is Not a Condition Which Would

question 112

Multiple Choice

Which of the following is not a condition which would require the recording of a lease contract as a capital lease?

• A) The lease transfers ownership of the property to the lessee.
• B) The lease contains a bargain purchase option.
• C) The lease term is less than 75% of the economic life of the leased property.
• D) The present value of the lease payments equals or exceeds 90% of the fair value of the leased property.

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Definitions:

Daily Newspapers

Newspapers published every day, providing a variety of news, analysis, and commentary on local, national, and international events.

Objectivity

The quality of being based on facts without being influenced by personal feelings or opinions.

Term Originate

The origin or the point at which a particular term was first used or introduced.

Stars

Celestial bodies emitting light and heat, or can refer to personalities who are highly celebrated in their fields, such as entertainment.