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In this tutorial, Sarah Cage and co-host Adam Olson discuss lease accounting, particularly focusing on ASC 842 and embedded leases. They are joined by leasing specialist Ty Cotter, who shares his experience with the implementation of the new leasing guidance mandated for private companies in 2022. The discussion aims to help companies identify all their leases and serves as a refresher for those who have already adopted the guidance. Adam emphasizes the importance of defining what constitutes a lease under U.S. GAAP to provide clarity before delving into the specifics of embedded leases. The conversation is structured to address key considerations for both audiences—new adopters and those needing a refresher.
