Asked by Mrs. Steph Bishop on Jun 22, 2024
Verified
Assets needed only on a temporary basis is a legitimate reason for leasing rather than buying.
Temporary Basis
A condition or status applied for a limited time period, often used in finance to describe temporary adjustments or measures.
Assets
Resources owned or controlled by a business or an individual that are expected to produce economic value or benefit in the future.
Leasing
Leasing is a financial agreement in which one party, the lessor, allows another party, the lessee, to use an asset for a specified period in exchange for periodic payments.
- Analyze the consequences of asset wear and tear, temporary demands, and restrictive stipulations on determining whether to lease or purchase.
Verified Answer
Learning Objectives
- Analyze the consequences of asset wear and tear, temporary demands, and restrictive stipulations on determining whether to lease or purchase.
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