Examlex
When describing the opportunity cost of two producers,economists use the term
Initial Direct Costs
The expenditures that a company can directly attribute to acquiring a new lease or originating a loan.
Operating Lease
A lease agreement that allows for the use of an asset but does not convey rights similar to ownership of the asset.
Prepaid Asset
Costs that are paid for upfront and listed as assets prior to their utilization or consumption.
Interest Rate Implicit
The interest rate in a lease that, when applied to the lease payments, discounts them to equal the fair value of the leased asset.
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