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A. An operating lease is treated like a rental contract between the lessor and lessee.
B. A lease that does not transfer ownership from the lessor to the lessee by the end of the lease is automatically an operating lease.
C. Sales and direct financing leases pertain more to lessees than lessors.
D. Unpredictability of lease revenues or expenses can transform what would otherwise be a capital lease for the lessee into an operating lease for the lessee.
A........... An operating lease is treated like a rental contract between the lessor and lessee.
B. A lease that does not transfer ownership from the lessor to the lessee by the end of the lease is automatically an operating lease.