here are a number of leasing alternatives available to a business. All of these alternatives can be more or less desirable depending on the type of equipment and it's residual value. Furthermore, different lease structures can allow for different tax or accounting treatments. Here is an example of various terminology used for purpose of defining leasing alternatives: equity or fair market value lease, stretch lease, $10.00 buy-out lease and operating lease. In addition, lease terms can be chosen so as to marry the cash flow provided by the use of the equipment with the lease rental expense. For that purpose, lease repayment terms can be monthly, quarterly or annually or again, adjusted to meet specific cash flow requirements on a seasonal basis or other.