When a Business Acquires the Right to Use Property by Way

question 20

Multiple Choice

When a business acquires the right to use property by way of a finance lease,it will record on the balance sheet as:

• A) an asset only
• B) an asset and a liability
• C) neither an asset nor a liability
• D) a footnote only.

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Definitions:

Right Coronary Artery

An artery supplying blood to the right side of the heart.

Marginal Artery

An artery that runs along the inner border of the colon, providing blood supply to the large intestine.

Circumflex Artery

A coronary artery that encircles the heart muscle, supplying blood and oxygen to the left atrium and the side and back of the left ventricle.

Bicuspid Valve

Another term for the mitral valve, located between the left atrium and left ventricle of the heart; it has two flaps (cusps).