A lessor classifies a lease as a Direct Financing lease. Lease Revenue will

Select one:

a.

be matched with Lease Expense over the lease term.

b.

be recorded on the day the lease term begins.

c.

not be recorded until the final year of the lease.

d.

be recorded annually over the life of the asset leased.

e.

be recorded annually as the Deferred Gross Profit is amortized