For a lease, the lease term is 50% of the economic life of the asset, there is no bargain purchase option, ownership does not transfer, and the asset is not specialized. The present value of lease payments is 95% of the assets fair value. To the lessor, this is a(an) _________ lease (enter the number that represents the correct answer).

1. finance lease
2. operating lease
3. sales-type lease
4. capital lease