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Why leasing is often preferable


Problem: In the lease versus buy decision, leasing is often preferable Question options: a) because the lessee owns the property at the end of the least term. b) because, generally, no down payment is required, and there are no indirect interest costs. c) because the lessee may have greater flexibility in abandoning the project in which the leased property is used than if the lessee bought and owned the asset. d) because it has no effect on the firm's ability to borrow to make other investments. e) because lease obligations do not affect the firm's risk as seen by investors. Need Assignment Help?

 

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Other Subject: Why leasing is often preferable
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