The Ability to Influence Others to Develop a Dependent Relationship

question 8

Multiple Choice

The ability to influence others to develop a dependent relationship is the definition of

• A) influence
• B) social power
• C) reward power
• D) position power
• E) power

---

Definitions:

Residual Value

The estimated value that an asset will realize upon its sale at the end of its useful life.

Capital Lease

A lease agreement that qualifies as a purchase of an asset for accounting purposes, because it substantially transfers all the benefits and risks of ownership to the lessee.

Incremental Borrowing Rate

The interest rate a lessee would have to pay to borrow, over a similar term and with a similar security, the funds needed to obtain an asset lease.

Leased Equipment

Assets obtained by a company through a leasing agreement, allowing the company to use the equipment without owning it.