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at commencement of the lease term, the lessor should record a finance lease in the balance sheet as a receivable, at an amount equal to the net investment in the lease [IAS 17.36]

On the lease commencement date, a lessee is required to measure and record a lease liability equal to the present value of the remaining lease payments, discounted using the rate implicit in the lease (or if that rate cannot be readily determined, the lessee's incremental borrowing rate).

Subsequent measurement of lease liability Subsequent to initial recognition, lease liability is (a) increased by the amount of finance cost which is calculated by multiplying the opening lease liability by the periodic interest rate, and (b) decreased by the amount of lease rentals paid.

At the commencement of a lease, a lessee recognises the following: Right-of-use (RoU) asset representing its right to use the underlying leased asset throughout the lease term, and. Lease liability representing its obligation to make lease payments.

In the initial recognition of lease liability, variable lease payments are measured using the actual value of an index or a rate at the commencement date (IFRS 16.27(b)). This implies that the lessee cannot use forward rates or forecasting techniques in measuring variable lease payments (IFRS 16.

The inception date is whichever of these two dates is earlier. The commencement date of a lease is the date that marks the beginning of the period of time during which a lessee is entitled to exercise the right to use a leased asset. This is the date on which lease accounting begins.

The initial direct costs of a lease are incremental costs that are only incurred if a lease is executed. In other words, they are costs contingent on a lease being successfully signed. This definition of initial direct costs is the same for lessors and lessees.

Initial Term of the Lease means the period beginning on the commencement date of the Lease and ending on the date on which the initial term of the Lease expires, exclusive of any renewal or extension term.

at commencement of the lease term, the lessor should record a finance lease in the balance sheet as a receivable, at an amount equal to the net investment in the lease [IAS 17.36]

On the lease commencement date, a lessee is required to measure and record a lease liability equal to the present value of the remaining lease payments, discounted using the rate implicit in the lease (or if that rate cannot be readily determined, the lessee's incremental borrowing rate).

Subsequent measurement of lease liability Subsequent to initial recognition, lease liability is (a) increased by the amount of finance cost which is calculated by multiplying the opening lease liability by the periodic interest rate, and (b) decreased by the amount of lease rentals paid.

At the commencement of a lease, a lessee recognises the following: Right-of-use (RoU) asset representing its right to use the underlying leased asset throughout the lease term, and. Lease liability representing its obligation to make lease payments.

In the initial recognition of lease liability, variable lease payments are measured using the actual value of an index or a rate at the commencement date (IFRS 16.27(b)). This implies that the lessee cannot use forward rates or forecasting techniques in measuring variable lease payments (IFRS 16.

The inception date is whichever of these two dates is earlier. The commencement date of a lease is the date that marks the beginning of the period of time during which a lessee is entitled to exercise the right to use a leased asset. This is the date on which lease accounting begins.

The initial direct costs of a lease are incremental costs that are only incurred if a lease is executed. In other words, they are costs contingent on a lease being successfully signed. This definition of initial direct costs is the same for lessors and lessees.

Initial Term of the Lease means the period beginning on the commencement date of the Lease and ending on the date on which the initial term of the Lease expires, exclusive of any renewal or extension term.