List four conditions for capital(financial Lease)

      

List four conditions for capital(financial Lease)

  

Answers


Ruth
i) The lease transfers title to the assets to the leasee by the end of lease period
ii) The lease contains an option to purchase the asset at a bargain price.
iii) The lease period is equal to or greater than 75 percent of the estimated economic life of
the assets.
iv) At the beginning of the lease the present value of the minimum lease payments equal or
exceeds 90 percent of the value of the leased property of the lessor.

NatalieR answered the question on February 9, 2022 at 08:48


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