Which of the following statements is correct?

	a.	The discount rate used to determine the present value of the lease payments recorded on the balance sheet is the firms weighted average cost of capital (WACC) because the risk of a lease is similar to that of the firms average capital budgeting project.
	b.	Under Accounting Standards Codification Topic 842 (ASC 842) there are three different lease classifications: finance leases, operating leases, and residual leases.
	c.	The economic effects of buying or leasing an asset are not similar, and as a result the accounting treatment of the two (as shown on a firms financial statements) are quite different.
	d.	Accounting Standards Codification Topic 842 (ASC 842) eliminates off-balance-sheet leases, so all operating and finance leases must be reported on the balance sheet. Thus, a lessee firm will report a right-to-use asset and a liability on its balance sheet equal to the present value of the lease payments.
	e.	A lessee with a finance lease will report both interest and amortization expenses on the income statement. The amortization expense would be considered an operating expense (similar to the treatment of depreciation), while the interest expense is a financing expense and shown below operating income on the income statement. As a result of this treatment, lessees with finance leases will report higher earnings before interest, taxes, and depreciation and amortization (EBITDAs) than lessees with operating leases.