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Question
The type of lease requiring an agreement between the financier and lessor is known as ________.
The type of lease requiring an agreement between the financier and lessor is known as ________.
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Solution
The correct option is C Leveraged lease
A leveraged lease is a lease agreement that is partially financed by the lessor through a third-party financial institution. In a leveraged lease, the lending company holds the title to the leased asset, while the lessor creates the agreement with the lessee and collects the payment.
A leveraged lease is a lease agreement that is partially financed by the lessor through a third-party financial institution. In a leveraged lease, the lending company holds the title to the leased asset, while the lessor creates the agreement with the lessee and collects the payment.
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