Direct Financing Lease results when the Present Value of lease payments equals the Carrying Value. Lessor exchanges a lease receivable, being the asset. Ultimately, the lessor is providing financing to the lessee, and the revenues earned by the lessor are financing in nature. The recognition of revenue here will be interest revenue. Given that the lessor is entering an operating lease with the lessee, the asset in the lessor’s balance sheet will decrease annually, net of depreciation, if all else is held constant.
1 Comment
7/2/2020 02:19:54 am
You have a pending credit card bills and not the money to pay and clear your account with the bank. The solution to your problem is debt relief companies. These companies carry the goal of reducing unsecured liabilities in a legal manner. Debt relief companies talk to the bank personnel and then decide the reduction which a customer can attain.
Reply
Leave a Reply. |
Archives
June 2019
Categories |