Aasb 117 examples
IFRS 16 Leases What does it mean for you? 18 January 2016; David Holland. Effectively this means the vast majority of operating leases as defined by the current AASB 117 Leases which currently do not impact the balance sheet will be required to be capitalised on the balance sheet once IFRS 16 is adopted. IFRS 16 Example:INTROUDCTION AASB 117 Leases requires lessees to classify leases as either finance leases or operating leases. The accounting treatment required under each approach is very different and this has raised concerns by investors and other financial statement users regarding the usefulness of the information provided. aasb 117 examples
3 IAS 17 Leases IASB APPLICATION DATE (NONJURISDICTION SPECIFIC) IAS 17 was reissued in December 2003 and is applicable for annual reporting periods commencing on or after 1 January 2005. OBJECTIVE The objective of IAS 17 is to prescribe, for lessees and lessors, the appropriate accounting policies and disclosure to apply in relation to leases.
Australian Accounting Standards Board (AASB) 117 Leases incorporates IAS 17 Leases as issued and amended by the IASB. Entities that comply with AASB 117 as amended will simultaneously be in compliance with IAS 17 as amended, with the exception of entities preparing general purpose financial statements under Australian Accounting Standards AUSTRALIAN ACCOUNTING STANDARDS FACT SHEET AASB 117 Leases Adopted from IAS 17 Leases (This fact sheet is based on the standard as at 31 December 2007. ) OBJECTIVE AASB 117 Leases prescribes the appropriate accounting treatment and disclosure requirements for leases in the financial statements of lessees and lessors.aasb 117 examples aasb 117 6 standard The inception of the lease is the earlier of the date of the lease agreement and the date of commitment by the parties to the principal provisions of the lease.