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Question · Whether the transfer is a sale

Mirlon wants to use a new press manufactured by Hydrex. Mirlon, Hydrex and the finance company Locafin negotiate together: Locafin will buy the press and lease it to Mirlon for 6 years. For administrative reasons, legal title briefly passes through Mirlon on the delivery date, but Mirlon at no time obtains control of the press before its transfer to Locafin. How does Mirlon account for the arrangement?

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