Question: A lease might specify that rental payments may be increased (or decreased) at some future time during the lease term depending on whether or not

A lease might specify that rental payments may be increased (or decreased) at some future time during the lease term depending on whether or not some specified event occurs such as revenues or profits exceeding some designated level. Under what circumstances are contingent rentals included or excluded from minimum lease payments? If excluded, how are they recognized in income determination?

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