Which of the following factors is most indicative that a lease should be recorded as a a finance lease under IFRS?

A) Ownership of the property is transferred to the lessee at the end of the lease.
B) The present value of the minimum lease payments is at least equal to the majority of the cost of the property at the lease’s inception.
C) The lease term equals at least 50% of the economic life of the asset.
D) The leased asset can be transferred to a subsequent owner during the course of the lease.

Answer: A