Asked by
Cathy Jamero
on Nov 07, 2024
Verified
Which of the following is the best definition of a lessee?
A) A longer-term, fully amortized lease under which the lessee is responsible for upkeep. Usually not cancellable with-out penalty.
B) The user of an asset in a leasing agreement. Lessee makes payments to lessor.
C) The owner of an asset in a leasing agreement. Lessor receives payments from the lessee.
D) A leveraged lease is a tax-oriented lease involving three parties: a lessee, a lessor, and a lender.
E) The NPV of the decision to lease an asset instead of buying it.
Lessee
An individual or entity that leases or rents property or equipment from another, known as the lessor.
- Acquire knowledge of the elementary terms and responsibilities in a leasing contract.
Verified Answer
MS
Learning Objectives
- Acquire knowledge of the elementary terms and responsibilities in a leasing contract.