Few Questions around GASB87-Lessor Accounting
Experts/Users of Lease Accounting,
Can you please share your thoughts around the following items for GASB87-Lessor Accounting?
- All leases under GASB87, I presume are going to be ‘Finance’ leases. No Operating Leases even if they are for shorter period in comparison to the useful life of the asset.
- Expense lease accounting is lot different under Modified and Full Accrual for lessee. For lessee, there is no recognition of ROU/Liability for modified accrual but for lessor accounting, such differences do not seem to exist. Hence I was wondering if we still need such differentiation around Modified Accrual/Full Accrual accounting?
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