Which of the Following Statements About the Characteristics of an Operating

Multiple Choice

Which of the following statements about the characteristics of an operating lease and a financiallease is correct?

A) An operating lease is typically used to acquire assets that have useful lives longer than the term of the lease, while financial leases are used to acquire assets with useful lives shorter than the term of the lease.
B) An operating lease is typically used to acquire assets that have useful lives shorter than the term of the lease, while financial leases are used to acquire assets with useful lives longer than the term f the lease.
C) An operating lease is typically used to acquire assets that have useful lives as long as the term of the lease, while financial leases are used to acquire assets with useful lives shorter than the term of the lease.
D) An operating lease is typically used to acquire assets that have useful lives shorter than the term of the lease, while financial leases are used to acquire assets with useful lives as long as the term of the lease.