In Order for a Lease to Be Considered a Finance

In order for a lease to be considered a finance (or capital) lease,international accounting standards require that a lease agreement

A) transfers substantially all risks and rewards incident to ownership of an asset to the lessee.
B) contains a provision requiring transfer of title to the lessee by the end of the lease term.
C) provides that the term of the lease contract be longer than one year.
D) provides for a bargain purchase option.

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