Accounting & the 3 Statements
Under current rules, how does an operating lease vs. a finance lease appear on the lessee's financials?
Model answer
Under ASC 842 (US GAAP) and IFRS 16, essentially ALL leases over ~12 months put a right-of-use (ROU) asset and a lease liability on the balance sheet — the old 'off-balance-sheet operating lease' is…
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