If a Lease Qualifies as a Capital Lease, Which of the Following

Multiple Choice

If a lease qualifies as a capital lease, which of the following combinations of payments would be included?

A) minimum periodic rental payments plus executory costs
B) minimum periodic rental payments plus the payment required for a bargain purchase option
C) minimum periodic rental payments minus any payment required for a guarantee of the residual value
D) minimum periodic rental payments minus any payments required for failure to renew or extend the lease