What You Need to Know About the New Leasing Standard
Author: Salvatore Collemi
| CPE Credit: |
2 hours for CPAs |
The new effective date for private companies’ adoption of ASC Topic 842, Leases is now January 1, 2022! Question: Are you prepared? Designed for CPAs, accountants, auditors, CEOs, CFOs, controllers, financial statement preparers, this course provides a practical overview of the understanding of the FASB’s new leasing guidance. The course provides a brief overview as well as additional guidance, best practices, presentation, and disclosures. The new leasing standard could impact existing contract terms, tax planning strategies, budgets, debt covenant compliance, incentive compensation plans, etc. In other words, this new standard is much more than an accounting issue, it’s a business issue! As such, it is critical that all practitioners, in both public accounting and business and industry, begin their review and preparation for implementing ASC Topic 842 as soon as possible!
Publication Date: August 2020
Designed For
CPAs, accountants, auditors, CEOs, CFOs, controllers, financial statement preparers and others seeking guidance on how to implement the new leasing standard.
Topics Covered
- ASC Topic 842, Leases
- FASB's new take on how operating leases will now be recognized on the balance sheet
- Lessee Lease Recognition and Measurement
- Lease Modifications
- The new presentation and disclosure requirements and practical application
- Qualitative Disclosures — Lessors
- Transition Requirements
- Sample Journal Entries
Learning Objectives
- Recognize and apply the FASB's new leasing standard
- Identify the new accounting and reporting requirements of leases
- Describe the new presentation and disclosure requirements
- Recognize how to provide the transition requirements and practical application of initial adoption of the new standard
- Identify the criteria for a finance lease
- Describe what initial direct costs include
- Identify quantitative disclosures for lessees
- Recognize the requirements regarding financial statement presentation for the lessee under ASC 842
Level
Intermediate
Instructional Method
Self-Study
NASBA Field of Study
Accounting (2 hours)
Program Prerequisites
Experience in U.S. GAAP and financial reporting
Advance Preparation
None
