Which of the Following Statements Is FALSE

Multiple Choice

Which of the following statements is FALSE?

A) In a direct lease,the lessor is the manufacturer (or a primary dealer) of the asset.
B) The lease specifies any cancellation provisions,the options for renewal and purchase,and the obligations for maintenance and related servicing costs.
C) If a firm already owns an asset it would prefer to lease,it can arrange a sale and leaseback transaction.
D) With many leases,the lessor provides the initial capital necessary to purchase the asset,and then receives and retains the lease payments.