AASB 117 Defines a Non-Cancellable Lease to Mean a Lease

question 18

Multiple Choice

AASB 117 defines a non-cancellable lease to mean a lease that is cancellable in limited circumstances only if:

• A)the lessor cancels with the permission of the lessee.
• B)some remote contingency occurs.
• C)the lessor incurs a penalty large enough to discourage cancellation.
• D)the lessee can cancel the lease at any time without any significant impediment or economic disincentive.

---

Definitions:

Mental Rotation

The cognitive ability to rotate mental representations of two-dimensional and three-dimensional objects.

Comprehension

The ability to understand the meaning or significance of something, such as spoken or written language.

Heteronomous

Subject to rules, laws, or an authority external to oneself.

Card Game

A game played using a deck or pack of playing cards as the primary device with which the game is played.