1 pts Question 3 Which of the following statements are true and represent differences between Finance Leases and Operating Leases? (choose all that apply) For Finance Leases the ROU Asset and Lease Liability are recorded for the present value of the lease payments , but for Operating Leases the ROU Asset and Lease Liability are recorded for the future value of the lease payments For Finance Leases the annual amortization of the ROU Asset is constant over the lease term, but for Operating Leases the annual amortization of the ROU Asset increases over the lease term For Finance Leases the annual Interest Expense decreases over the lease term, but for Operating Leases annual Interest Expense is constant over the lease term For Finance Leases the total annual lease-related expenses decrease over the lease term, but for Operating Leases the total annual lease-related expenses are constant over the lease term For Finance Leases an ROU Asset and a Lease Liability are recorded, but for Operating Leases there is no recognition of assets or liabilities on the financial statements Question 4 1 pts Which of the following statements are true and represent differences between Finance Leases and Operating Leases? (choose all that apply) For Finance Leases Interest Expense is reported in the Finance section of the Statement of Cash Flows, but for Operating Leases Interest Expense is reported in the Operating section of the Statement of Cash Flows O For Finance Leases the annual reduction in the Lease Liability is reported in the Finance section of the Statement of Cash Flows, but for Operating Leases the annual reduction in the Lease Liability is reported in the Operating section of the Statement of Cash Flows For Finance Leases the amortization of the ROU Asset is reported in the Finance section of the Statement of Cash Flows, but for Operating Leases the amortization of the ROU Asset is reported in the Operating section of the Statement of Cash Flows For Finance Leases Interest Expense and the reduction of the Lease Liability are reported as a combined amount in the Finance section of the Statement of Cash Flows, but for Operating Leases Interest Expense is reported in the Operating section and the reduction of the Lease Liability is reported in the Finance section of the Statement of Cash Flows For Finance Leases Interest Expense and Amortization Expense are reported separately on the Income Statement, but for Operating Leases Interest Expense and Amortization expense are reported as a combined amount on the Income Statement