CFA Practice Question

There are 520 practice questions for this study session.

CFA Practice Question

For a lessor to classify a lease agreement as a capital lease, the collectability of the minimum lease payments must be reasonably assured. True or False?
Correct Answer: True

User Contributed Comments 4

User Comment
kalps Classification as CAPITAL LEASE ----> lease payments must be reasonably assured
isida CAPITAL LEASE IS LIKE A SALE AND ASSURANCE OF PAYMENTS IS ONE OF THE REQUIREMENTS OF REVENUE RECOGNITION
johntan1979 Lessor --> 2 additional criteria
Sp1993 Lessor's perspective; part of revenue recognition criteria, collectability of lease payments reasonably predictable/assured
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