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Tropical Products Inc. is in the process of negotiating a lease of equipment with a fair value of $20,000, and it must determine the proper

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Tropical Products Inc. is in the process of negotiating a lease of equipment with a fair value of $20,000, and it must determine the proper lease classification. The following table describes four scenarios under negotiation. Required For each of the four options, determine whether the lessee would classify the lease as operating or finance. Lease type for Option Two: Lease type for Option Three: Lease type for Option Four

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