A practical approach to the Incremental Borrowing Rate (IBR) for lease accounting
ASC 842 requires lessees to use the rate implicit in the lease agreement for the Net Present Value (NPV) calculations…
Don’t Get Caught Off Balance with Lease Accounting
Does the opening ROU asset always equal the opening lease liability? Not always. Many public companies have already successfully adopted…
Deferred Rent – What it means under ASC 840 and how it impacts ASC 842 transition
Deferred rent is the balance sheet account that was used under ASC 840 to enable straight-line rent expense. Basically, when…
How new lease accounting standard ASC 842 has significantly impacted corporate earnings
ASC 842 was written to produce very little, if any, impact on corporate P&Ls. In fact, that is the main…
Key Money and the Impact on Lease Accounting under ASC 842
Key money is typically used in the leasing industry to describe an incentive paid to acquire a lease. And it’s…
Frozen Lease Accounting – Continued Use of Straight-line Functionality
New lease accounting guidelines (ASC 842 and IFRS 16) are now in effect for many companies. I am often asked…
What you need to know about GASB Lease Accounting Compliance
Generally accepted accounting principles (GAAP) for state and local governments in the U.S. is determined by the private non-governmental organization…
Retail earnings may be impacted by transitioning to new ASC 842 lease accounting standard
The new ASC 842 lease accounting standard was designed to produce very little, if any, impact on corporate earnings. However…
Deadline extension: Private companies likely have until January 2021 for ASC 842 lease accounting compliance
Private companies are likely to get another year to figure out ASC 842 lease accounting compliance. The Financial Accounting Standards…
Beyond ASC 842 Lease Accounting Compliance: What Companies Should Know
As accounting teams rush to implement policies and processes for the new ASC 842 standard, most companies aren’t looking past…