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    Intermediate Accounting Study Set 7
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    Exam 18: Extension: Ol Accounting for Leases Current Standard
  5. Question
    Initial Direct Costs Are Expensed at the Inception of the Lease
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Initial Direct Costs Are Expensed at the Inception of the Lease

Question 105

Question 105

Multiple Choice

Initial direct costs are expensed at the inception of the lease in ________.


A) an operating lease
B) a direct-finance lease
C) a sales-type lease
D) a capital lease

Correct Answer:

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