Consolidation Procedures for Sales-Type Leases

Multiple Choice

Consolidation procedures for sales-type leases:

A) ​allow for the recognition of the profit or loss from the lease by the lessee at the inception of the lease.
B) ​allow for the recognition of the profit or loss from the lease by the lessor at the inception of the lease.
C) ​defer the profit or loss and then amortize it over the lessee's period of usage.
D) ​defer the profit or loss and then amortize it over the lessor's period of usage.