Hi All,
Where to report subleases income in cashflow statment? Where and in which standard it is written??
subleases income in cashflow
-
- Posts: 7
- Joined: 23 Dec 2022, 20:01
Re: subleases income in cashflow
The query is for banking company.
Re: subleases income in cashflow
so in which category would you classify these cash flows and why?
-
- Posts: 7
- Joined: 23 Dec 2022, 20:01
Re: subleases income in cashflow
Depending on the lease classification, if it is an operating lease then in operating activities and if it is a financing lease then in investing activities.
Re: subleases income in cashflow
why income from finance lease as investing activities?
-
- Posts: 7
- Joined: 23 Dec 2022, 20:01
Re: subleases income in cashflow
Because it is a disposal of long term asset (ROU)
Re: subleases income in cashflow
ok I see your point, so cash flow from repayment of finance lease receivable will be an investing cash flow indeed,
and for the interest part, this applies:
https://ifrscommunity.com/knowledge-bas ... -dividends
and for the interest part, this applies:
https://ifrscommunity.com/knowledge-bas ... -dividends
-
- Posts: 7
- Joined: 23 Dec 2022, 20:01
Re: subleases income in cashflow
So is this "Depending on the lease classification, if it is an operating lease then in operating activities and if it is a financing lease then in investing activities." the right approach??
Re: subleases income in cashflow
yes!
unless financing is core business in which finance leases may be still within operating activities (similarly to loans given)
unless financing is core business in which finance leases may be still within operating activities (similarly to loans given)