Peeling away financial reporting issues one layer at a time

Category for Leases

Was Donald Trump Complicit in a Securities Fraud?

What do the race for U.S. President and financial reporting have in common?

Non-GAAP performance measures!

It’s looks like a stretch, I know, but stay with me. If you will give me a moment to tell you about [Read More...]

From Where I Sit, Where Investors Should Stand on the New Lease Accounting

It’s hard to pick which of the major accounting standards convergence projects has given investors the shortest shrift.  But leases is notable for one thing: the FASB’s handpicked Investor Advisory Committee (IAC) panned the [Read More...]

Accounting Complexity: What if “Truth in Labeling” were an Accounting Principle?

“I do not deny that what happened to us is a thing worth laughing at. But it is not worth telling, for not everyone is sufficiently intelligent to be able to see things from [Read More...]

Has the FASB Approached Lease Accounting as an “Independent” Standard Setter?

The FASB is now 40 years old, and its lease accounting standards are about the same age.  Some would say that SFAS 13 was obsolete when issued, but it only became a front-burner [Read More...]

How Managers Do Love the Leasing ED: Let Me Count the Ways

An excerpt from a WSJ blog:

“Outgoing FASB Chairman Leslie Seidman has had plenty of time to tackle long-standing questions about whether accounting principles are more desirable than specific accounting rules, writes Emily Chasan. The [Read More...]

Taking the Measure of Lease Expense – Part 2 of 2

This post could turn out to be a little dry. So, to whet your curiosity, I’ll start with the payoff:

First, contrary to the conclusions of the FASB and IASB, level periodic lease expense [Read More...]

Taking the Measure of Lease Expense (Part 1 of 2)

The best thing to come out of the lease accounting project is that, except in very limited circumstances, 'operating lease' accounting will be jettisoned. At the inception of a lease contract, lessees will have [Read More...]

Getting the Accounting for Derivatives Right — to Get Rid of Financial Regulations and Regulators

This may be a little hard to explain, but my thoughts went to lease accounting after reading Jonathan Weil's Bloomberg piece about the JPMorgan derivatives debacle. And, it happened again after I read [Read More...]