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Lease Financing Video Lecture | Crash Course for UGC NET Life Commerce (English)
FAQs on Lease Financing Video Lecture - Crash Course for UGC NET Life Commerce (English)
| 1. What is lease financing? |  |
Ans. Lease financing is a method of obtaining funding for the use of an asset by making periodic payments over a set period of time. The lessee does not own the asset but has the right to use it for the duration of the lease.
| 2. What are the advantages of lease financing? | |
Ans. Some advantages of lease financing include lower initial costs, tax benefits, improved cash flow, and the ability to access newer equipment without large upfront investments.
| 3. What is the difference between operating lease and finance lease? | |
Ans. Operating leases are typically short-term and do not transfer ownership of the asset to the lessee, while finance leases are long-term and transfer the risks and rewards of ownership to the lessee.
| 4. How does lease financing impact a company's financial statements? | |
Ans. Lease financing can affect a company's financial statements by impacting the balance sheet, income statement, and cash flow statement due to the recognition of lease liabilities, lease assets, and lease expenses.
| 5. What are the key considerations when choosing lease financing? | |
Ans. Some key considerations when choosing lease financing include the cost of the lease, the terms of the lease agreement, the impact on financial statements, tax implications, and the overall financial health of the company.
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Nov 25, 2024 Last updated |
Video Description: Lease Financing for UGC NET 2024 is part of Crash Course for UGC NET Life Commerce (English) preparation.
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Introduction of Lease Financing in English is available as part of our Crash Course for UGC NET Life Commerce (English) for UGC NET & Lease Financing in
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