1. Operating leases often have terms that include

a. full amortization over the life of the lease.

b. very high penalties if the lease is canceled.

c. restrictions on how much the leased property can be used.

d. much longer lease periods than for most financial leases.

e. maintenance of the equipment by the lessor.

2. Professor McDonough is intrigued by the patriarchal policy underlying certain tax regulations which explain the rules for transfer payments made incident to divorce. He proposes to research the topic.

a. This is an example of policy research.

b. This is an example of planning research.

c. This is an example of open-ended research.

d. This is an example of closed transaction research.