Which of the following statements are correct regarding an operating lease?
A) The lessor records depreciation expense and lease revenue.
B) The lessee records the leased asset as a long-term asset.
C) The lessee receives title to the asset at the end of the lease.
D) The lessee records interest expense.

Question

Quizplus · Accepted Answer

In an operating lease, the lessor retains ownership and records depreciation and lease revenue, while the lessee does not record the asset or interest expense.

Which of the Following Statements Are Correct Regarding an Operating