SFAS No. 13 in effect regards a lease period of 75 percent or more as a relevant

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SFAS No. 13 in effect regards a lease period of 75 percent or more as a relevant circumstance in distinguishing between capital and operating leases. What economic factors (cash flow differentials) lie behind this policy choice?

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Accounting Theory Conceptual Issues in a Political and Economic Environment

ISBN: 978-1412991698

8th edition

Authors: Harry Wolk, James Dodd, John Rozycki

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Question Posted: Feb 12, 2016 06:19 AM

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SFAS No. 13 in effect regards a lease period of 75 percent or more as a relevant

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At least as the FASB sees it where the asset is leased for more than 75 percen...View the full answer

Accounting Theory Conceptual Issues in a Political and Economic Environment

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