A conditional sales agreement lease must be disclosed on the firm's balance sheet, according to generally accepted accounting principles.

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nuren adlina · Accepted Answer

Final Answer : True, Explanation :  Under generally accepted accounting principles (GAAP), a conditional sales agreement, which effectively transfers control and significant risks and rewards of ownership to the lessee, must be recognized on the lessee's balance sheet as both an asset and a corresponding liability.

A conditional sales agreement lease must be disclosed on the firm's balance sheet, according to generally accepted accounting principles.

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