Capital Lease or Operating Lease? 4 Questions to Ask

John A. Knutson & Co., Pllp18 Sep, 2025Other

Trying to figure out whether a lease should be treated as a Capital lease or Operating lease? John A. Knutson & Co., PLLP break down the four critical questions that determine lease classification—ownership transfer, bargain purchase, useful life percentage, and present value criteria. Ensure your accounting is accurate with these insights.