Which of the Following Statements Characterizes a Sales-Type Lease

question 30

Multiple Choice

Which of the following statements characterizes a sales-type lease?

• A) The lessor recognizes a dealer's profit at lease inception and interest revenue over the lease term.
• B) The lessor recognizes only interest revenue over the lease term.
• C) The lessor recognizes only interest revenue over the life of the asset.
• D) The lessor recognizes a dealer's profit at lease inception and interest revenue over the asset life.

---

Definitions:

Poisoned

A condition produced by a substance that harms or causes death.

Sequela

An ailment resulting from a prior illness or injury.

Co-morbidity

The presence of one or more additional diseases or disorders co-occurring with a primary disease or disorder.

Alphabetic Index

A systematic arrangement of terms, names, or other items, organized alphabetically to facilitate lookup.