What you need to know about the lessee and lessor accounting models This course explains the lessee accounting model, including Lease and non-lease components Lease classification Amortization of the right-of-use asset Interest on the lease liability
This course also explains the lessor accounting model, including Transfer of risk Profit recognition Collectibility
Included in this course are detailed and illustrated examples with amortization tables and journal entries.
Learning Objectives
- Recognize lessee accounting requirements for operating leases and finance leases under FASB ASC 842.
- Recognize lessor accounting requirements for sales type, direct financing, and operating leases under FASB ASC 842.
Major Topics
- Lessee and lessor accounting models
- Lease and non-lease components
- Lease classifications
- Initial and subsequent measurement of leases
