Lease Accounting in Transition  (LAT4)

4.00 CPE Credit Hours

After years of discussion, FASB finalized a new lease standard (ASU 2016-02, Topic 842) that makes significant changes in lessee accounting and disclosure. Lessor accounting is virtually unchanged from prior guidance. Effective in 2019 (or 2020 for nonpublic companies), most long-term leases will be capitalized on the balance sheet as right of use (RoU) assets and lease payment liabilities. This 4-hour program will cover lease definition, lease classification, lease accounting, and lease disclosures for both lessees and lessors. It will also illustrate the accounting for finance and operating leases for both lessees and lessors. Related business implications of the new lease standard will also be addressed.

Designed For
Financial professionals in companies that are lessees or lessors, as well as auditors with clients that are lessees or lessors.

Objective

Participants will be able to:

• Describe the new lease terminology including finance and operating leases
• Define a lease contract
• Identify and describe the recognition and measurement techniques for right of use (RoU) assets and lease payment liabilities
• Account for finance leases and operating leases by both lessees and lessors following the new lease guidance

Highlights
Leasing and accounting

Prerequisites
Prior exposure to lease accounting as a lessee or lessor will be helpful

Advanced Preparation
None

Developer
Kaplan Loscalzo

Presenters
Rebecca Lee, Kaplan Loscalzo

Level of Knowledge
Intermediate