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Understanding Finance Lease Accounting: How Lessors Recognize Revenue Over the Lease Term
finance lease lessor finance income lease term accounting standards lease accounting
Which one of the following statements best describes the subsequent accounting requirements by a lessor for a finance lease? A lessor does not recognize finance income during the lease term A lessor recognizes finance income at the end of the lease term A lessor recognizes finance income at lease commencement A lessor recognizes finance income over the lease term

A lessor recognizes finance income over the lease term.

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