Instead of purchasing assets outright many companies lease assets either for operational purposes or as a means of asset acquisition. Please explain the differences between the 2 types of leases, capital and operating, and explain how both the lessee and the lessor view these arrangements and provide a clear discussion of the process each uses to determine whether to enter into a leasing arrangement.

Answer rating: 100% (QA)

A capital lease or finance lease is treated like an asset on a companys balance sheet while an opera... View the full answer