If the Residual Value of a Leased Asset Turns Out

question 43

Multiple Choice

If the residual value of a leased asset turns out to be more than the amount guaranteed by the lessee, the:

• A) Lessor must compensate the lessee for the excess.
• B) Lessee must pay the lessor the amount of the excess.
• C) Lessee will reduce the last year's depreciation.
• D) Lessor is not obligated to compensate the lessee for the excess.

---

Definitions:

Employee Benefits

Various types of non-wage compensation provided to employees in addition to their normal wages or salaries.

Employee Relations

The efforts of an organization to manage relationships between employers and employees in order to maintain work-place harmony and resolve workplace conflicts.

Supervisors

Individuals who have the responsibility and authority to oversee the work performance of others and guide them towards achieving the objectives of the organization.

Organization

A structured group of individuals working together to achieve common goals or purposes, typically within an identified framework or system.