Which of the Following Is Not a Characteristic of a Finance

question 39

Multiple Choice

Which of the following is not a characteristic of a finance lease?

• A) It is generally non-cancellable.
• B) The lessee guarantees that the lessor will receive a specific residual value from the sale of the asset at the end of the lease term.
• C) It is like a rental agreement.
• D) The lessee has the right to use the leased asset.

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Definitions:

Theorists

Theorists are individuals who develop theories or frameworks to explain phenomena within specific fields, such as sociology, psychology, or political science.

Iron Cage

A concept introduced by Max Weber to illustrate the increased rationalization inherent in social life, particularly in Western capitalist societies, leading to individuals feeling trapped by systems of bureaucracy and rationality.

Zygmunt Bauman

A sociologist known for his analyses of modernity, globalization, and the nature of social relations in contemporary society.

Modernity

A historical period or cultural outlook characterized by significant changes in social organization, art, science, and the concept of rationality, emerging from the Enlightenment.