03-16-2010, 07:54 PM
Company A has entered into finance arrangement (hyre purchase agreement) with a Bank for purchase of vehicles. Vehices are registered on the name of compay but a note is mentioned at the end of registration documents that vehilce is acquired on hyre purchase agreement with bank.
Bank makes directly payments to the dealer on behalf of the company. After that amount of loan is returned to the bank in installments by the company.
Question is that vehicles so acquired are Owned Assets or Leased Hold Assets.
Bank makes directly payments to the dealer on behalf of the company. After that amount of loan is returned to the bank in installments by the company.
Question is that vehicles so acquired are Owned Assets or Leased Hold Assets.