Question
A manufacturing company is considering expanding its
production capacity by acquiring new machinery. The company is exploring the option of leasing the machinery instead of purchasing it outright. In this scenario, which type of lease would be most suitable if the company wants to eventually own the machinery at the end of the lease term?Solution
A finance lease is a type of lease that transfers ownership of the asset to the lessee (the company) at the end of the lease term, making it the most suitable option if the company intends to own the machinery eventually.
What is the purpose of a 'quality circle'?
Under which section of the Banking Regulation Act, 1949, did RBI approve the amalgamation of The Rajapur Sahakari Bank Ltd. with The Malad Sahakari Ban...
As per the Credit Guarantee Scheme for Micro and Small Enterprises (CGS-MSE), what is the maximum credit facility limit eligible for guarantee coverage ...
What are the minimum financial asset requirements for an individual to qualify as an Accredited Investor under the IFSCA (Fund Management) Regulations, ...
An entrepreneur is setting up his new business. He purchases some equipment. He also takes insurance on the equipment for which the premium is paid for ...
What is the primary objective of the Credit Guarantee Scheme introduced for MSMEs in the Budget 2024-25?
_______ refers to the information collected by an auditor to ascertain the accuracy and compliance of a company's financial statements.
In which of the following cases lifetime credit losses will be the correct choice for computing ECL:
I.Financial assets with no significant incre...
Which of the following is excluded when calculating the investment in plant and machinery or equipment for an enterprise? Â
Factoring and forfeiting are two different ways of extending credit by financial institutions. Which of the following is NOT a difference between facto...
