IAS 17 - Leases Free Essay, Term Paper and Book Report
IAS 17 ¡V Lease
Objective:
To prescribe, for lessees and lessors, the appropriate accounting policies and disclosures to apply in relation to finance and operating leases
Scope:
Applies to all leases other than lease agreements for minerals, oil, natural gas, and similar regenerative resources and licensing agreements for films, videos, plays, manuscripts, patents, copyrights, and similar items
Does not apply as the basis of measurement for the following leased assets:
X Property held by lessees that are accounted for as investment property for which the lessee uses the fair value model.
X Investment property provided by lessors under operating leases.
X Biological assets held by lessees under finance leases.
X Biological assets provided by lessors under operating leases.
Definitions of leases as apply to IAS 17:
Operating Lease: a lease for which the lessee acquires the property for only a small portion of its useful life and is commonly used to acquire equipment on a short-term basis
Finance Lease: a lease that transf......
Word Count: 667
Page Count: 2.6 (250 words a page / double spaced)
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