Lease Purchase Option Cancelation Accounting
We have an active finance lease that has an existing purchase option that we migrated with amortization date of 7/1/22. When cancelling this option I would expect to see that the option elimination of the option amounts based off the LDR. I do see an in an out for the option amounts.
But as part of the cancelation it creates an entry that also increases the Open Liablility for the asset that it is tied too. ( I have verified in our test environments a before option if canceled and after with the highlighted line below not present before and present after cancelation)