Which of the Following Statements Is False

question 40

Multiple Choice

Which of the following statements is false?

• A) If the lease is deemed to be a true lease, the firm is assumed to have effective ownership of the asset and the asset is protected against seizure.
• B) Although the legal ownership of the asset resides with the lessor, in a non-tax lease the lessee receives the depreciation deductions.
• C) The treatment of leased property in bankruptcy will depend on whether the lease is classified as a security interest or a true lease by the bankruptcy judge.
• D) In a non-tax lease, the interest portion of the lease payment is interest income for the lessor.

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Definitions:

Digital Divide

The gap between those who have access to information and communications technology and those who do not.

Societal Pressure

Refers to the influence exerted by society on individuals or groups to conform to certain norms, behaviors, or values.

More Powerful

Describes something that has a greater level of strength, influence, or capability compared to others.

Market Pressure

The influence on a company or industry resulting from changes in market conditions, such as customer demand, competition, or regulatory environment.