One advantage leasing has over purchasing is that service maintenance contracts are available if you lease but not available if you purchase.

One advantage leasing has over purchasing is that service maintenance contracts are available if you lease but not available if you purchase.

• A. True
• B. False
• C. Not enough information
• D. Depends on the lender

Answer: (B)

Maintenance contracts are not exclusive to leasing; they’re available with either option. Leasing often includes maintenance as part of the package to simplify budgeting and reduce risk, but you can also buy a maintenance contract when you purchase equipment—whether from the manufacturer, dealer, or a third party. So the availability of a service contract isn’t determined by whether you lease or buy, but by the provider and the contract terms. This makes the statement false.

Maintenance contracts are not exclusive to leasing; they’re available with either option. Leasing often includes maintenance as part of the package to simplify budgeting and reduce risk, but you can also buy a maintenance contract when you purchase equipment—whether from the manufacturer, dealer, or a third party. So the availability of a service contract isn’t determined by whether you lease or buy, but by the provider and the contract terms. This makes the statement false.