(CMA Adapted, Dec 92 #10) There Are Many Similarities Between

question 7

Multiple Choice

(CMA adapted, Dec 92 #10) There are many similarities between lessee and lessor accounting for the capitalization of leases.Which one of the following is a criterion for the capitalization of a lease by a lessee?

• A)The lease transfers ownership of the property to the lessee by the end of the lease term.
• B)The lease term is at least 90% of the remaining life of the asset at the beginning of the lease.
• C)The present value of the minimum lease payments is 75% or more of the fair market value of the leased asset.
• D)Future costs are reasonably predictable.
• E)The lease term is at least 60% of the remaining life of the asset at the beginning of the lease.

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Definitions:

Electronic Dialog

The communication that occurs through electronic means, such as emails, chat rooms, and social media platforms, between businesses and customers.

Customerization

A blend of customization and standardization in marketing, where businesses adapt their products or services to individual customer needs while maintaining efficiency.

Customizing Product

Tailoring a product or service to meet the specific needs or preferences of an individual customer or segment.

Shopping Interaction

The engagement and exchanges between customers and retailers during the shopping experience, including physical and online shopping.