Link Term Amendment for escalating lease ROU Amortization not adjusting correctly after Amendment
Approach:
We use Link Term amendment when we want to modify the payment values (increase or decrease the payment amount)
Say we have a 10 year escalating lease, we set up 10 payment templates
In year 9 we want to do an amendment to decrease the payment template for the remainder of year 9 and the also decrease the payment template for year 10
(1) We do a link term for the Year 9 payment template where we end date the existing details of the current payment and in the proposed details include the reduced amount for the remainder of year 9 (which start the day after the end date of the existing and ends at the end of year 9)