Which One of the Following Statements Is Correct Concerning the Lease

Which one of the following statements is correct concerning the lease versus buy decision?

A) The lessor is primarily concerned with returning the asset at the end of the lease term without incurring any additional charges.
B) The lessor is primarily concerned about the use of the asset.
C) If Dell Computer became a lessor of its own computers it would be engaging in direct leasing.
D) A firm should always purchase, rather than lease, any asset that has a projected positive salvage value at the end of the relevant period of use.
E) Lessors provide a source of financing for lessees.

Correct Answer:

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