[Jimmy Dugan]

I am thoroughly confused on what constitutes a direct finance lease under the new lease rules. Here is the best way I can state my understanding at this point:

-the present value of the minimum lease payments is less than 90% (or substantially all as is the case for the new wording) of the assets fair value BUT
-The present value of guaranteed residual value and minimum lease payments does meet that test AND
-it is probable that the guaranteed residual value and lease payments will be collected

Is my understanding accurate and if not, where am I going wrong?