Which Statement Is Correct About the Bargain Purchase Option (BPO)

question 117

Multiple Choice

Which statement is correct about the bargain purchase option (BPO) ?

• A) It is cash that the lessee will receive at the end of the lease.
• B) It cannot be assumed that the BPO will be exercised.
• C) It is excluded in the minimum lease payment calculation.
• D) It means that it is almost certain that ownership will transfer to the lessee.

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Definitions:

People's Beliefs

The various convictions or acceptances that individuals hold as true, often based on personal experiences, culture, or religion.

Social Currents

Broad, diffuse movements within society that influence collective behavior and beliefs without a formal organizational structure.

Organic Solidarity

A social cohesion based on the dependence individuals have on each other in more advanced societies, according to Durkheim.

Mechanical Solidarity

A form of social cohesion in traditional societies where unity comes from shared values and common activities.