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How Do the Total Expenses Over the Life of a Capital

Question 47

Multiple Choice

How do the total expenses over the life of a capital lease compare with the total expenses over the life of an operating lease?


A) The expenses of a capital lease are greater for a capital lease than for an operating lease.
B) The expenses of an operating lease are greater than for a capital lease.
C) There is no difference between total expenses for an operating lease and a capital lease.
D) The total expenses cannot be compared.

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