From the Lessor's Standpoint, All of the Following Statements Are

Multiple Choice

From the lessor's standpoint, all of the following statements are true regarding leasing except that

A) the lease may serve as a marketing tool and thereby increase sales
B) if the residual value of the asset is not guaranteed, the lessor has transferred the risks of residual value decreases to the lessee
C) for sales-type lease agreements, the lessor earns interest in addition to profit from the transfer of the asset
D) the accounting procedures used by a lessor for a sales-type lease are similar to the accounting procedures used for a normal sale of merchandise under a perpetual inventory system