Adopting ASC 842: The New Lease Standard for Private Companies and Nonprofits

After December 15, 2019, all private companies and nonprofits who issue financial statements will be required to adopt ASC 842, the new lease accounting standard for US GAAP and IASB 16. The most significant change is that almost all of the leases, including operating leases, have to be capitalized as "finance" leases and placed on the balance sheet.

Learning Objectives

To provide attendees with a better understanding of the new lease accounting standards requirements
Understand the classification of leases under the new standard
Learn how the pros and cons of practical expedient elections
To compare similarities and differences between ASC 842 and IASB 16

Major Topics

The identification of contractual and embedded leases
The classification of leases as "finance" or "operating" under the new standard
Understand components that pertain to leases, and the items that are not lease components
We will discuss the Right of Use (ROU) and liabilities; lease term, measurements and re-measurements
It is important to understand what pertains to the FASB vs. international standards of IASB with respect to leases
Provide knowledge on the use of practical expedient elections, what is helpful or not helpful
Most importantly, we will explain how to both adopt and implement the new lease standard

CPE Credits Available

2 CPE

2: Accounting & Auditing

Things to Know About This Course

Course Level

Update

Prerequisites

None

Advanced Preparation

None

Intended Audience

Adopting ASC 842: The New Lease Standard for Private Companies and Nonprofits

Provider

ACPEN