Lease Accounting

[shakilicma76]

Difference between finance and lease accounting?

[awaisaftab]

<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by shakilicma76</i>
<br />Difference between finance and lease accounting?
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">

Consult the booklet on Leasin written by Zuberi

[Abdul Majid]

Dear

You please study IAS-17 issued by the International Accounting Standards Board.
I think this will be more benificial.

Majid

[hmmm]

only to creat a rough idea

finance lease
at the end we have right and ownership.

operating lease
operaing lease is just like rental asset. mean we have take house on rent for specipic period. at the end we have to leave it.

[madnanirshad]

Finace lease
if lessee use the major portion of use ful life of asset
if owner ship will transfere to lessee at the end of lease

operating lease
any lease other than finance lease

[ssbaqar]

In Finance Lease, We record Asset and related Depreciation in financial statements...Whereas in Operating Lease, we simple record the payment of Lease rentals!