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Unformatted text preview: Lease term is 75% or more of the expected life of the asset Ownership is transferred to the lessee at the end of the term Contract allows the lessee to purchase the asset at a price lower than market value Present value of the lease payment is 90% or more of the market value of the asset when contract is signed Acct 101 L12, L13, L16 Handout #09 2 E 9-4 Nov. 1 Dec. 31 April. 30 Present Value...
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This note was uploaded on 12/07/2009 for the course ACCT ACCT 101 taught by Professor H during the Fall '08 term at HKUST.
- Fall '08