Overview
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Implementing ASC 842 Leases
3 mins
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Identified asset, right to control use of asset.
30 mins
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Identified asset, no right to control.
36 mins
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Format changes in the financial statements
66 mins
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Notes to financial statements
93 mins
Course Description
ASC 842 on Leases, this standard became effective from the calendar year started on January 1, 2019, for the public companies. For private companies, the standard will be effective from the calendar year beginning January 1, 2020. ASC Topic 842 will substantially alter how companies account for leases in their financial statements. This new standard brings most operating leases, which were accounted for off-balance sheet under the previous leases standard ASC 840, onto the balance sheet.
The new standard will require organizations that lease assets— referred to as “lessees”—to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Under the new guidance, a lessee will be required to recognize assets and liabilities for leases with lease terms of more than 12 months.
Consistent with current Generally Accepted Accounting Principles (GAAP), the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease.
However, unlike current GAAP—which requires only capital leases to be recognized on the balance sheet— the new ASU will require both types of leases to be recognized on the balance sheet.
In this webinar, Samuel Monastra will provide a step-by-step practical approach to implementing ASC 842 Leases. The lessons learned by public companies that have implemented the Lease Standard will be the backdrop for the discussion. Additionally, there will be an active discussion of the format changes to the financial statements as a result of implementing ASC 842 Leases. The new format for presenting leases on the financial statements may potentially affect financial ratios, loan covenants, and the financial position of the company.
This Online CPE Webinar on Accounting covers the following Key Topics:
- What are the changes in formats in financial statements?
- Discussion with examples illustrating the implementation enhanced existing processes & procedures.
- Examples and problems to provide a frame of reference for implementing ASC 842.
Learning Objectives
- To begin the process to implement the new lease accounting standard
- To have an enhanced understanding of best practices to implement the new standard
- To discuss how the new standard will have an impact on the financial position of the company
Recommended For
- This Online CPE webinar on Accounting is recommended for CPAs, CFF, CMA, CFE, CIA, CVA, IAP, QIAL, ABV, CIPM, FPAC, CFIRS, CMAs, CWS, and other accounting professionals at any level who desire to implement ASC 842 lease transactions and their updates.
Who Should Attend?
- Accountant
- Accounting Firm
- Accounting Managers
- Bookkeepers & Accountants & Tax Preparers
- Certified Management Accountant (CMA)
- Certified Public Accountant (CPA)
- CPA (Industry)
- CPA - Mid Size Firm
- CPA - Small Firm
- Entrepreneurial Accountant
- Senior Accountant
- Staff of Accounting Firm
- Young CPA