The Overall Trend in Secondary Storage Is Toward Use of Indirect

question 43

True/False

The overall trend in secondary storage is toward use of indirect access methods and increased volatility.

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Definitions:

Leveraged Lease

A financing arrangement where the lessor uses borrowed funds to acquire an asset which is then leased to a lessee, allowing for tax benefits and risk distribution.

Sales-type Lease

A lease agreement where the lessor effectively sells the asset to the lessee, recognizing profit or loss at the lease's inception.

Lessor Classification

Refers to criteria used by lessors to determine whether a lease should be classified as a finance lease or an operating lease.

Nonrecourse Financing

A loan where the lender's only recourse in case of default is to seize the collateral securing the loan, with no further claim on the borrower's assets.