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Different types of leases include operating leases, finance leases, and sales and leaseback arrangements.
Operating leases are short-term leases where the lessor retains ownership of the asset.
Finance leases are long-term leases where the lessee assumes most of the risks and rewards of ownership.
Sales and leaseback arrangements involve selling an asset to a lessor and then leasing it back.
Other types of leases include d...
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Direct finance lease is a type of lease where the lessee takes ownership of the asset at the end of the lease term, while operating lease is a type of lease where the lessor retains ownership of the asset.
Direct finance lease is also known as capital lease.
In direct finance lease, the lessee is responsible for maintenance and insurance of the asset.
Operating lease is also known as service lease.
In operating lease, the ...
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