If the lease contract allows the lessee to exercise the bargain purchase option prior to the lease termination, all accounting computations must be based on the shorter period.
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Q90: On December 31 of the current year,
Q91: The bargain purchase option is not included
Q92: How does a sales-type lease differ from
Q93: Initial direct costs are expensed at the
Q94: Initial direct costs are capitalized as part
Q96: When a lessor records a sales-type lease,
Q97: The lessee depreciates leasehold improvements over the
Q98: Lessees capitalize expenditures for leasehold improvements as
Q99: When there is a guaranteed residual value,
Q100: Superbyte Corporation sells photographic equipment. Superbyte leases
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