Which of the Following Would Not Be a Characteristic of a fiNancial

question 22

Multiple Choice

Which of the following would not be a characteristic of a financial lease?

• A)They are not usually fully amortized.
• B)They usually require the lessor to maintain and insure the leased assets.
• C)They usually do not include a cancellation option.
• D)The lessee usually has the right to renew the lease at expiration.
• E)All of the above are characteristics of financial leases.

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