Introduction to leasing. Urdu | Hindi
Introduction to leasing. Urdu | Hindi
The most common way businesses acquired equipment and software through leasing. The leasing market is large.
So what is a lease?
IFRS 16 states that a lease is present if a contract, "conveys the right to control the use of an identified asset for a period of time in exchange for consideration." Leasing is thus a form of financing.
The lessor in a lease agreement is the entity granting the right to use the property.
The lessee in a lease agreement is the entity receiving the right to use the property.