10 minutes - The future of lessee accounting
Publisher:
PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft
A practical overview of how the 2019 lease accounting standard will reshape balance sheets and financial ratios.
How the 2019 standard will reshape debt ratios and EBITDA through balance sheet recognition of all leases
Practical steps for identifying lease contracts, updating accounting processes, and ensuring compliance
Guidance on reviewing credit agreements with lenders to address covenant calculations under the new standard
excl. VAT (added at checkout)
Year:
2016
Language:
English
Pages:
8
File Format:
Abstract
The IASB/FASB published the new lease accounting standard on January 13th, 2016. The new, not entirely converged US-GAAP standard regarding lease accounting will be released soon. The IFRS regulation requires a lessee should recognize for all leases a right of use asset and a lease liability. In the profit and loss the lessee should recognize the amortization of the asset and the interests on the lease liability. The new standard is expected to be effective for financial years beginning in January 1st, 2019. With respect to the new lease accounting standard financial statements according to IFRS may not correspond with financial statements according to US-GAAP.