5 Things To Consider Under The New Lease Accounting Standards

The Financial Accounting Standards Board (FASB) released the long-awaited lease accounting standard on Feb. 25. The first exposure draft on the topic was originally released in August 2010 and has undergone several revisions. Although there are several elements of the standard, the most significant is the requirement for lessees to include the future lease payments on the balance sheet as a liability and a related right-of-use asset.

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BING SEARCH:
  • 14.1 Leases (ASC 842 and IFRS 16)
    14.1.3.2 Lessee accounting – Income statement (ASC 842 and IFRS 16) Under both US GAAP and IFRS, the income statement recognition for finance leases of lessees consists of the amortization of the right-of-use asset and interest expense related to the lease liability.
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