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Commerce · Q1916

Accounting

Graduate and Post Graduate · Commerce · question 1916

Q1916

Which of the following statements is/are true? i. Tax-shield on depreciation and interest is an important variable both for the lessor and the lessee. ii. Lease transactions in India are governed by the Lease Act. iii. A lessee should evaluate the lease options against the buying option. iv. As per AS-19, financial lease is shown in the balance sheet of the lessee as an asset.

A.
i and iv
B.
i, iii and iv
Answer
C.
ii, iii and iv
D.
Only ii

Answer: Option B

Solution

Answer: Option B
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