1.Identify the true statements about an operating lease. (Select all that apply.)

In an operating lease, there is no cancellation option.

In an operating lease, the payments received by the lessor are usually not enough to fully recover the cost of the asset.

In an operating lease, the lessee has to insure the leased asset.

In an operating lease, the lessor has to maintain the leased asset.

2. Which of the following statements are true about a financial lease? (Select all that apply.)

	A financial lease is not fully amortized.
	The lessee is responsible for maintenance.
	Cancellation can be done only on the payment of a penalty.
	The lessor is responsible for insurance.