Asked by Hadeel Jaber on May 26, 2024
Verified
List and briefly explain the three types of financial leases.
Financial Leases
Long-term leases that transfer substantially all the risks and rewards of ownership of the asset to the lessee, similar to finance purchases.
- Identify the types of leases and their characteristics.
Verified Answer
CR
Chaudhary RehmanMay 26, 2024
Final Answer :
The three types of lease options are tax-oriented, leveraged, and sale and leaseback agreements. The explanations are directly from section 22.1.
Learning Objectives
- Identify the types of leases and their characteristics.