Which of the Following Statements Is FALSE Regarding Operating Leases

question 7

Multiple Choice

Which of the following statements is FALSE regarding operating leases?

• A) They are recorded as present value of lease on the balance sheet
• B) They do not have any real effect the balance sheet
• C) They must not extend for at least 75 percent of the asset's life
• D) They are usually the preferred form of accounting for leases

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Definitions:

Aqueous Humor

A clear, watery fluid found between the lens and the cornea of the eye, providing nutrition and maintaining intraocular pressure.

Eyeball

The sphere-shaped organ of vision contained within the orbit of the skull.

Palpebrae

The medical term for eyelids, serving as protective covers for the eyes that help moisturize and clean the ocular surface through blinking.

Lacrimal Caruncle

A small, flesh-colored nodule at the inner corner of the eye, responsible for producing mucus and oil to lubricate the eye.