$4\mathrm{.}16$

points

Knowledge Check $01$

Which of the following describe the criteria that must be met for a company to treat a lease as a short$-$term lease?

Note: Select all that apply.

Check All That Apply

References

The lease term is twelve months or less.

The lease term $($including any options to renew or extend$)$ is twelve months or less

The lease does not contain a purchase option that would extend the term beyond twelve months.

The lease does not contain a purchase option that the lessee is reasonably certain to exercise, which would extend the term beyond twelve months.