IFRS16: Abnormal Lease Term
Posted: 23 Jun 2022, 12:36
Hi all,
Usually, lease terms are always 2 years or 3 years etc. I would like to know how do we account for an abnormal lease term (eg: 24/5/2021 to 30/6/2022)? In this case it's 13mths 7days.
Monthly lease invoice: $25,500
Balance lease invoice (24/6/2022 - 30/6/2022): $5,950
I do have a template and it's always fixed as monthly period so every month is $25,500. And setup as 14 periods/mths.
In this case i would have an excess balance of $19,550
How do i go about it?
And going forward how do i setup the template to account for this kind of "abnormal lease term".
Thanks!
Usually, lease terms are always 2 years or 3 years etc. I would like to know how do we account for an abnormal lease term (eg: 24/5/2021 to 30/6/2022)? In this case it's 13mths 7days.
Monthly lease invoice: $25,500
Balance lease invoice (24/6/2022 - 30/6/2022): $5,950
I do have a template and it's always fixed as monthly period so every month is $25,500. And setup as 14 periods/mths.
In this case i would have an excess balance of $19,550
How do i go about it?
And going forward how do i setup the template to account for this kind of "abnormal lease term".
Thanks!