IAS 17 Recommends That Finance Leases Be Recognized as Assets

question 33

Multiple Choice

IAS 17 recommends that finance leases be recognized as assets and liabilities on the statement of financial position/balance sheet.Such recording of finance leases is often known as the ____ of the leased asset.

• A) Recognition
• B) Incorporation
• C) Capitalization
• D) Reservation

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Definitions:

U.S. Military

The combined forces of the United States, including the Army, Navy, Marine Corps, Air Force, and Coast Guard, tasked with defense and national security.

American West

A region of the United States with diverse geography and history, often associated with the frontier period, expansion, and the idea of the Wild West.

Ethnically Diverse

Describes a community or population consisting of people from a variety of ethnic backgrounds, enriching cultural heterogeneity.

Civil War Veterans

Individuals who served as soldiers during the American Civil War (1861-1865) between the Union and Confederate states.