According to current GAAP, leased property recorded as a capital lease normally should be reported as a long-term or intangible asset on the balance sheet of the lessee and the lessor as follows: $\begin{array}{lll}
&\text { Lessee}&\text { Lessor }\
\text { I. } & \text { included } & \text { included } \
\text { II. } & \text { included } & \text { not included } \
\text { III. } & \text { not included } & \text { not included }\
\text { IV. } & \text { not included } & \text { included }
\end{array}$

A)I
B)II
C)III
D)IV

Question

According to current GAAP, leased property recorded as a capital lease normally should be reported as a long-term or intangible asset on the balance sheet of the lessee and the lessor as follows: $\begin{array}{lll}
&\text { Lessee}&\text {  Lessor }\
\text { I. } & \text { included } & \text { included } \
\text { II. } & \text { included } & \text { not included } \
\text { III. } & \text { not included } & \text { not included }\
\text { IV. } & \text { not included } &  \text { included }
\end{array}$

A)I
B)II
C)III
D)IV

Quizplus · Accepted Answer

According to current GAAP, leased property recorded as a capital lease normally should be reported as a long-term or intangible asset on the balance sheet of the lessee and the lessor as follows:

\begin{array}{lll}&\text { Lessee}&\text { Lessor }\\\text { I. } & \text { included } & \text { included } \\\text { II. } & \text { included } & \text { not included } \\\text { III. } & \text { not included } & \text { not included }\\\text { IV. } & \text { not included } & \text { included }\end{array}

According to Current GAAP, Leased Property Recorded as a Capital