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Which of the followig the lessee prefere : a ) operating lease b ) capital lease?

 :which of the followig the lessee prefere :

a ) operating lease

 

b ) capital lease

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Question added by هيثم ناجى , محاسب اول , الفيوم لصناعة السكر
Date Posted: 2015/07/22
Deleted user
by Deleted user

Lessee prefers an operating lease because it is a form of off-balance sheet financing . No liabilities , no interest expense ,and no depreciation . So option a is right .

هيثم ناجى
by هيثم ناجى , محاسب اول , الفيوم لصناعة السكر

in addition to your answer mr moataz the capital lease is the best in tax purposes

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