Leveraged Leases Are a Form of

question 12

Multiple Choice

Leveraged leases are a form of

• A)operating leases.
• B)financial leases.
• C)leases that considerably reduce lessee's obligations.
• D)rent.

---

Definitions:

Mortgage Payment

The regular payment made by a borrower to a lender, typically comprising both interest and principal repayment, for a loan secured by real estate.

Monthly Rent

The periodic payment made by a tenant to a landlord for the use of premises.

Sunk Costs

Expenses that have already been incurred and cannot be recovered, and thus should not affect future decisions.

Accounting Methods

refer to the systematic techniques used to record, summarize, and report financial transactions of a business.