Equipment Rentals Borrows Money on a Nonrecourse Basis to Fund

Equipment Rentals borrows money on a nonrecourse basis to fund its purchases of construction equipment. This equipment is then leased to contractors. The leases are classified as tax-oriented leases. Which one of the following terms best describes one of these leases?

A) Leveraged lease
B) Sale and leaseback arrangement
C) Single-investor lease
D) Perpetual lease
E) Straight lease

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