Which Type of Lease Will NOT Increase a Company's Assets

question 36

Multiple Choice

Which type of lease will NOT increase a company's assets or long-term liabilities?

• A)An operating lease.
• B)A capital lease.
• C)A lease that contains a bargain purchase option.
• D)A lease that transfers title of the leased asset to the lessee at the end of the lease term.

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Definitions:

Massed Study

An educational technique involving studying material intensely over a short period of time without taking breaks, contrasted with spaced repetition.

Long-Term Retention

The ability to hold onto information or skills for extended periods, often many years.

Working Memory

An intellectual mechanism with finite space, dedicated to briefly storing data for further manipulation.

Echoic Memory

A subtype of sensory memory that retains auditory information for a short period after the original sound is heard.