What does IFRS 16 mean by:
68 The lessor shall use the interest rate implicit in the lease to measure the net investment in the lease. In the case of a sublease, if the interest rate implicit in the sublease cannot be readily determined, an intermediate lessor may use the discount rate used for the head lease (adjusted for any initial direct costs associated with the sublease) to measure the net investment in the sublease.
How should a intermediate lessor adjust the discount rate for the head leas for any initial directs costs associated with the sublease?
Is there any formula?
All topics related to IFRS Standards.
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