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Operating Lease
A pure rental agreement with no documented residual amount. Goods can be returned to the financier when the agreement expires. Commitments need only be disclosed by way of a footnote to the published accounts and, should the asset be sold for less than the residual amount, the user cannot be held liable. Usually limited to motor vehicles, computers and multi purpose industrial equipment.
A pure rental agreement with no documented residual amount. Goods can be returned to the financier when the agreement expires. Commitments need only be disclosed by way of a footnote to the published accounts and, should the asset be sold for less than the residual amount, the user cannot be held liable. Usually limited to motor vehicles, computers and multi purpose industrial equipment.
Options
A derivative investment, giving the holder an option to buy or sell a specified quantity of an underlying asset at some time in the future, at a price which is agreed when the contract is executed.
A derivative investment, giving the holder an option to buy or sell a specified quantity of an underlying asset at some time in the future, at a price which is agreed when the contract is executed.