Home › Bihar Board Class 12 (Commerce) › Business Studies › Sources of Business Finance › A limitation of lease financing is that the less…
A limitation of lease financing is that the lessee never does what?
ABecomes owner
BSigns a contract
CPays any rental
DUses the asset
Answer & Solution
Correct answer: A. Becomes owner
The lessee loses the residual value because the asset is never owned.
Related questions
Which is true of the choice of a source of funds?Short-term financing mostly funds which kind of asset?Besides finance, development institutions also provide what?Financial institutions mainly meet which type of requirements?Government financial institutions are also called what?Before sanctioning a loan, a commercial bank requires the borrower to do what?A bank loan does not need which formality?A merit of bank loans is that business secrecy is what?