Lease Accounting: Liabilities and Right-of-Use Assets Explained
The amortization of the right-of-use (ROU) asset impacts both the profit and loss statement and the balance sheet. Unlike traditional depreciation, the amortization of an ROU asset requires a tailored approach, reflecting the consumption of the economic benefits of the leased asset over the lease term. In a lease, the lessor will transfer all rights […]
01.12.2020