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Lease Present Value Calculation

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edited Sep 9, 2021 1:53PM in Lease Accounting 4 comments

Summary

Lease Present Value Calculation

Content

 

1. Where can I find the formula for PV calculation. The system calculation is not coming back to our excel sheet calculations.

2. How does the system treats lease that increase yearly by a percentage. I am not seeing any option to include increase amount for payments after each year

3. Does the payment amount create the invoices with the payment amount plus the taxable amount or it just create the invoice for the payable amount.

4. What is the best way to deal with migrated leases. Reason being, in creating the lease do I put the original start date or the start date as at migration. If i select the option Migrated and input the current Finance Lease value with the current date as the start date, The system calculation is not the same as my manual lease excel.

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