Which of the Following Statements Is FALSE

question 13

Multiple Choice

Which of the following statements is FALSE?

• A)If a firm only needs to use the asset for a short time,it is probably less costly to lease it than to buy and resell the asset.
• B)While owners of assets are likely to resell them only if the assets are "lemons," a short-term lease can commit the user of an asset to return it regardless of its quality.In this way,leases can help mitigate the adverse selection problem in the used goods market.
• C)Car dealerships are in a better position to sell a used car at the end of a lease than a consumer is.
• D)If the asset's tax depreciation deductions are faster than its lease payments,there are tax gains from a true tax lease if the lessor is in a lower tax bracket than the lessee.

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Definitions:

Physical Attractiveness

The extent to which an individual's physical characteristics are deemed attractive or lovely.

Personality Characteristics

Traits or qualities that form an individual's distinctive character, often influencing behavior and thought patterns.

Population

The defined group of individuals from which a sample is drawn.

Null Hypothesis

A hypothesis that states there is no statistical significance between the two variables being studied, essentially stating that any observed effect is due to chance.