The FASB Defines Financial Lease as Leases That Meet the Following

question 35

Multiple Choice

The FASB defines financial lease as leases that meet the following:

• A)The lease agreement transfers ownership to the lessee before the lease expires, or the lessee can purchase the asset for a bargain price when the lease expires.
• B)The lease agreement transfers ownership to the lessee before the lease expires or the lessee can purchase the asset for a bargain price when the lease expires, or the lease lasts for at least 75 percent of the asset's estimated economic life.
• C)The lease agreement transfers ownership to the lessee before the lease expires, or the lessee can purchase the asset for a bargain price when the lease expires, or the lease lasts for at least 75 percent of the asset's estimated economic life, or the present value of the lease payments is at least 90 percent of the asset's value.
• D)The lessee can purchase the asset for a bargain price when the lease expires, or the lease lasts for at least 75 percent of the asset's estimated economic life, or the present value of the lease payments is at least 90 percent of the asset's value.

---

Definitions:

Attachment Style

Patterns of how individuals emotionally bond and relate to others, often formed during childhood.

Reassurance

The act of providing comfort or confidence to someone, often by easing their doubts or fears.

Avoidant-Fearful

A type of attachment characterized by a desire for closeness with others combined with a fear of getting hurt or rejected.

Avoidant-Fearful

A subtype of avoidant personality disorder characterized by a pervasive pattern of social inhibition, feelings of inadequacy, and hypersensitivity to negative evaluation.