lease the equipment to Dal $($or another company$)$ for an additional $5$ years. Dal paid $$130,000$ to Marne on January $2,2020,$ the first annual payment date.

How would Marne Company and Dal Company classify the lease, considering a $5\%$ implicit interest rate for both parties?

Select one:

a$.$

Marne Company Dal Company

Operating Lease Finance Lease

b$.$

c$.$

d$.$