The course demonstrates accounting for leases in accordance with International Financial Reporting Standard 16. IFRS 16 -Leases - was issued in January 2016 and, in comparison to its predecessor International Accounting Standard IAS17 makes significant changes to the way in which leasing transactions are reported in the financial statements of lessees (although not in the financial statements of lessors). The purpose of this course is to demonstrate how to account for the leases in the financial statements of Lessee. In this course, you will also learn the significant differences between previous IAS 17 and the new IFRS 16.

IFRS 16 defines a lease as “A contract, or part of a contract, that conveys the right to use an asset for a period of time in exchange for consideration”. In order for such a contract to exist the user of the asset needs to have the right to:

• Obtain substantially all of the economic benefits from the use of the asset.
• The right to direct the use of the asset.

Course Key Concepts: Lessor, Lessee, Right of Use, Identified Asset, Lease term, Depreciation, Lease liability, Short-term leases, Low-value leases, Sales & leaseback.