What question did this study set out to answer?

The article aims to propose a new approach for evaluating lease versus loan choices in accounting contexts.

Lease Evaluation.

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This article proposes a novel lease evaluation method, highlighting its significance for accounting practices.

The article aims to propose a new approach for evaluating lease versus loan choices in accounting contexts.
Discusses the nature of leasing and its implications for accounting.
Proposes a method of lease evaluation for specific situations.
Provides a set of operating instructions for applying the evaluation method.
Demonstrates the method with a sample calculation using a computer.
Highlights the importance of proper lease obligation treatment in financial statements.
Raises questions about estimating loan rates and cost of capital.
Examines the impact of risk on lease choice and investment decisions.

Bower et al. (1966) studied this question.

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