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Which of the following describes the lease term test? a) If the lease term is 90% or more of the economic life, it is a
Which of the following describes the lease term test?
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| a) If the lease term is 90% or more of the economic life, it is a finance lease. |
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| b) If there is a bargain purchase option during the lease term, it is a finance lease. |
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| c) If the asset has an alternative use during the lease term, it is a finance lease. |
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| d) If the lease term is 75% or more of the economic life, it is a finance lease. |
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Dk Essential Managers Understanding Accounts
Authors: Stephen Brookson, Adele Hayward
1st Edition
0789471493, 978-0789471499
