Question: 1. Explain the difference between a finance lease and an operating lease. 2. Explain, by reference to the requirements of IAS 17, why the consultant

1. Explain the difference between a finance lease and an operating lease.
2. Explain, by reference to the requirements of IAS 17, why the consultant prefers operating to finance leases.
3. Describe three disadvantages to the company of entering into finance lease agreements.

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