Of the Four Criteria for a Capital Lease,which Two Are

question 1

Multiple Choice

Of the four criteria for a capital lease,which two are not applied if the lease begins during the final quarter of the asset's useful life?

• A)The 75% test and the bargain purchase option.
• B)The 90% test and the 75% test.
• C)The 90% test is the only one to which this applies.
• D)The bargain purchase and the passage of title criteria.

---

Definitions:

Telecommuting Agreement

A telecommuting agreement is a formal arrangement between an employer and employee outlining the terms and conditions for working remotely.

Worker's Commitments

The dedication or obligation that employees feel towards their job or employer, often impacting their work attitude and output.

Government Legislation

Laws and regulations enacted by governmental bodies that impact individuals, businesses, and organizations.

Worker Productivity

The measurement of the efficiency of a worker or workforce, evaluated by the amount of work output per unit of work input.