Which of the following is a valid argument for leasing?
A) tax differences
B) reduced resale costs
C) efficiency gains from specialization
D) All of the above are valid arguments for leasing.

Question

Quizplus · Accepted Answer

All three options - tax differences, reduced resale costs, and efficiency gains from specialization - are valid arguments for leasing. By leasing, businesses can often take advantage of tax benefits by deducting lease payments as a business expense. Leasing also avoids the costs associated with owning an asset, such as maintenance and repairs, which can reduce resale costs. Additionally, leasing may allow businesses to specialize in their core competencies and delegate other tasks to leasing companies, thus increasing efficiency. Therefore, the best choice is D, as all three options are valid reasons for leasing.

Which of the Following Is a Valid Argument for Leasing