Which of the Following Are Advantages of Leasing

question 187

Multiple Choice

Which of the following are advantages of leasing?

• A) A lease obligation may be substantially less restrictive than the provisions of a bond indenture.
• B) Leases may be terminated by the lessor at any time in the contract.
• C) Ownership transfers to the lessee automatically on the first payment.
• D) Leases allow the lender to monetize the asset.

---

Definitions:

Disputed Behavior

Actions or conduct in question that are contested or challenged by parties in a disagreement.

Rule 10b(5) Violation

A breach of the SEC rule against fraud and deceit in the trading of securities.

Half-truth

A deceptive statement that includes some element of truth, used to mislead by omission.

Components

Individual parts or elements that, when combined, form a complete system or product.