Which of the Following Statements Regarding Leases Is Correct

question 182

Multiple Choice

Which of the following statements regarding leases is correct?

• A) Capital leases are favored over operating leases.
• B) A debit balance in the Leased Asset account on the balance sheet indicates an operating lease.
• C) Title is transferred to the lessee at the end of an operating lease term.
• D) Operating leases require the lessee to make rent payments.

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Definitions:

Conservation Biologist

A scientist dedicated to studying ways to preserve and restore biodiversity, focusing on the integration of ecological function and species conservation.

Sensitive Ecosystems

Ecosystems that are highly responsive to environmental pressures or changes, often requiring special attention for conservation or restoration efforts.

Degraded Ecosystems

Ecosystems that have been damaged or impaired, often by human activities, resulting in reduced capacity to provide services and support life.

Beavers

Semi-aquatic rodents known for building dams, canals, and lodges, significantly impacting their surrounding environment and ecosystem.