IFRS 16: Lease Accounting for lessor| Hindi | Urdu
IFRS 16: Lease Accounting for lessor| Hindi | Urdu
The lessor must first classify the lease as a finance lease or an operating lease.
If it’s a finance lease, the lessor will:
• Record sales revenue and cost of goods sold (if the lessor is a manufacturer or a dealer)
on the lease commencement date
• Remove the asset from its statement of financial position
• Record a lease receivable
• Record interest revenue throughout the lease
If it’s an operating lease, the lessor will:
• Keep the asset on its statement of financial position
• Record depreciation expense for the asset
• Record lease revenue throughout the lease on a straight-line basis
• Introduction to leasing. Urdu | Hindi