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In a sale-leaseback transaction, Reddy Company is the seller-lessee and Kaiser Company is the buyer-lessor. If one of the five criteria used to determine classification

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In a sale-leaseback transaction, Reddy Company is the seller-lessee and Kaiser Company is the buyer-lessor. If one of the five criteria used to determine classification of the lease is met, Select one: a. Reddy will record the lease as an operating lease. b. Reddy will recorda Note Payable for the cash received from the sale c. If the book value of Reddy's asset is more than the cash received, Reddy records a gain. d. Reddy will record the lease as a finance lease. e. Kaiser will record the lease as an operating lease

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