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How to handle grace periods with interest accrual in Asset Leases module

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We are implementing an operating lease in Oracle Assets – Manage Leases.
The lease has the following characteristics:

  • Lease term: 62 months
  • Interest rate: 4.94157895
  • Currency: PEN
  • Payment frequency: Monthly, in arrears
  • First 2 months are grace periods (payment amount = 0), but interest must still be accrued during those months and capitalized into the lease liability.
  • From month 3 onwards, regular monthly payments occur.

In the current Assets Leases setup, when we define the payment schedule with $0 for months 1 and 2, the system does not calculate interest for those periods, because it appears to tie interest calculation directly to the payment amount defined in the recurring/one-time payments. This causes the amortization schedule to not match IFRS/ASC 842 requirements, where interest must accrue regardless of actual cash payment.

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