Do you know which leases are within the scope of FASB ASC 842, Leases, and how
to apply the new financial accounting, financial reporting, and disclosure
requirements of this new major standard? This course addresses those questions
by examining the core principles of the standard, including identification,
recognition, measurement, presentation and disclosure requirements. Examples
with journal entries are included to illustrate application of the standard.
This course explains the lessee accounting model, including lease classification,
amortization of the right-of-use asset, and interest on the lease liability. This
course also explains the lessor accounting model, including transfer of risk, profit
recognition, and collectability. Additional topics include short-term leases,
purchase options, variable lease payments, and sale and leaseback transactions.
In addition, this course addresses the business context of implementing the new
standard by identifying key factors for managing this significant change.