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Which of the following best describes current practice in accounting for leases? Leases are not capitalized. Leases similar to installment purchases are capitalized. All long-term

Which of the following best describes current practice in accounting for leases?

Leases are not capitalized.

Leases similar to installment purchases are capitalized.

All long-term leases are capitalized.

All leases are capitalized.

Please explain in detail! Thank you. The answer I chose was Leases similar to installment purchases are capitalized BUT it was wrong

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