1) Consistent with ASC Topic 842, operating lease expense is equal to

• the amortization expense recognized for financing leases.

• the interest expense recognized for financing leases.

• the lease expense that would have been recognized if classified as a short-term lease.

• the amortization expense recognized if the asset had been purchased by lessee.

2) GAAP establishes specific criteria for the treatment of leases under ASC 842. If any of the criteria are met, the lessee

• must treat the lease as an operating lease.

• must treat the lease as a finance lease.

• may choose the treatment if two or less criteria are met.

• may elect to treat the lease as an operating lease if only one criterion is met.