Which of the following statements regarding leases is false?

a. Lease agreements are a popular form of financing the purchase of assets because leases do not require a large initial outlay of cash.

b. Accounting recognizes two types of leases-operating and finance leases.

c. If a lease is classified as a finance lease, the lessee records a lease liability on its statement of financial position.

d. If a lease is classified as an operating lease, the lessee records a lease liability on its statement of financial position.