Under IFRS, If Land Is the Sole Property Being Leased

question 75

Multiple Choice

Under IFRS, if land is the sole property being leased, and title does transfer at the end of the lease, it should be accounted for as a(n)

• A) operating lease.
• B) capital lease.
• C) sales-type lease or financing lease.
• D) rental agreement.

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Definitions:

Roger Williams's Banishment

The expulsion of Roger Williams, a religious leader and advocate for the separation of church and state, from the Massachusetts Bay Colony in 1636, leading to the founding of Rhode Island.

Massachusetts Bay

A region and colony in the early United States, centered around the bay of the same name, known for its role in the Puritan migration and the early development of American democracy.

Church and State

The concept or legal principle concerning the separation of religious institutions and government entities, aiming to prevent any single religion from dominating public policy or government functions.

Indian Lands

Areas of land within the United States that are reserved for Native American tribes and are recognized as such by the federal government.