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Aug 6th, 2022

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How to choose highlight lease

5 out of 5

71 votes

Jillian Pierce, a senior manager at PwC's national office, discusses the impact of the new lease accounting standard on companies bringing leases onto the balance sheet. Determining the lease term is crucial for classification and measurement. Identifying the term involves considering non-cancelable periods, renewal options, termination options, and periods from options to extend or not terminate the lease. Understanding the relationship between the lease term and the short-term lease exception is key for accurate accounting.

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