Willy Won Card Co$.$ enters into a lease contract with the following information regarding the lease:

Willy Won Card agrees to acquire the right to use an equipment for the next $8$ years from Factory Builder Co$.$ The equipment has a $10$ years useful life without salvage value, and the fair market value of the lease payment at the time of the signing of lease contract is $$120,000.$ The present value of the total annual lease payments is $$110,000.$ Willy Won Card will return the equipment to Factory Builder $Co.$ at the end of the lease, and there is no purchase option for Willy Won Card to purchase the equipment during or at the end of lease term.

What type of lease should Willy Won Card classify this lease?

Select one:

a$.$ Sales$-$Type

b$.$ Operating

c$.$ Short$-$term

d$.$ Financing