The Accounting Policy & Practice Report ® provides financial accounting policy makers, advisors, and practitioners with the latest news, expert insights, and guidance on emerging, evolving,...
Final rules that will dramatically change current lease accounting rules are scheduled to be issued this summer. The new rules could have a significant impact on both the debt reported on a company's balance sheet and its earnings before interest, tax, depreciation, and amortization (EBITDA). In general, the change will affect all companies that lease assets (e.g., real estate or equipment), regardless of the type or value of such assets. Written by Timothy Shea is an associate with Foley & Lardner LLP, where he is a member of the Transactional & Securities Practice. He represents clients in a variety of industries on transactional and corporate matters.
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