Which of the following statements about per procedure per us

Which of the following statements about per procedure (per use) leases is most correct?

Solution

Financial lease and operating lease for specific periods or years is risky because of fixed lease payment and interest charges. Per procedure lease can be defined as the variable cost and can also be accounted very easily.

Hence, it decreases the risk to lessee, as a result risk to lessor will increase.

Hence, correct option is (E) Answers a. and d. are both correct.