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Commerce · Q536

Business Finance

Graduate and Post Graduate · Commerce · question 536

Q536

Which of the following can be defined as the term of a finance lease?

A.
It is cancellable
B.
The legal title to the asset is with the lessee
C.
The asset is capitalized in the balance sheet of the lessee
Answer
D.
The lessor is responsible for service and maintenance of the asset

Answer: Option C

Solution

Answer: Option C
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