Question $4(2$ points$)$

Generally Accepted Accounting Principles require the recognition of the assets and

liabilities related to leases in the general ledger in which of the following situations?

Leases with multiple year payments, which when discounted to present

value, are LESS than $90\%$ of the fair value of the asset.

Leases that extend more than one year and cover LESS than $75\%$ of the

economic life.

Only leases where the ownership is transferred from the lessor to the lessee

at the end of the lease term.

All leases, regardless of the length of the lease.

All finance leases, but not operating leases.