What is FASB 13?
Accounting rules set by the Financial Accounting Standards Board (FASB). Equipment leases that meet one or more of the criteria are classified as a capital lease. a) The lease transfers ownership of the property to the lessee by the end of the lease term. b) The lease contains a bargain purchase option. c) The lease term is equal to 75 percent or more of the estimated economic life of the leased property. d) The present value at the beginning of the lease term of the minimum lease payments equals or exceeds 90 percent of the excess of the fair value of the leased property.
Related Questions
- FASB has announced it will make changes to the fair value accounting standards in the next few weeks. Why didnt NCUA wait to see if those changes may have impacted the financial position of these corporate credit unions?
- How would the staff normally expect Registrant G to adequately document a loan loss allowance under FASB ASC Subtopic 450-20 for these loans that were individually reviewed for impairment but are not considered individually impaired?
- What is happening at the FASB and IASB on the topic of revenue recognition recently?
