Answer Happy

Which of the following statements regarding leases is false? Oa. If a lease is classified as a short-term lease, the lessee records an asset on its balance sheet. Ob. If a lessor classifies a lease as a long-term lease, then the lessor records a lease liability on its balance sheet. Oc. Lease agreements are a popular form of financing the purchase of assets because leases do not require a large initial outlay of cash. Od. Accounting recognizes two types of leases-short- and long-term leases.