Define the term Finance Leases.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Define the term Finance Leases.

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Step 1

Lease is an agreement where one party permits or give rights to another party to use their land, building, machinery, etc. for specific period of time and consideration.

 

Step 2

The person who allows another party is called as lesser whereas the person who uses the land or property for some specific time period is called as lessee.

 

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