Accounting Standards Codification 842, Leases, is likely one of the most important pieces of work from the Financial Accounting Standards Board (FASB) in years. The standard impacts organizations across all industries that have leases and issue any type of financial statement under U.S. Generally Accepted Accounting Principles (GAAP).
Accumulating the necessary data, as well as developing and implementing related processes and controls, can require significant time and resources.
Identify and document current lease classifications and needed calculations for the transition date and subsequent reporting periods
Assist with identifying embedded leases
Assist with formally documenting lease policies surrounding reviewing, classifying and accounting for leases, including lease modifications and lease reassessments
Assist in preparing required disclosures
Assist management with the impact of the adoption of the new standard at the transition date
Assist with software selection and implementation
Assist with tax compliance
Conduct incremental borrowing rate (IBR) analyses
Evaluate impact to other areas of the business
Provide supplemental training and education to company staff
Implementing the New Leases Standard (Cohen & Company Services)
How to Efficiently and Effectively Transition to the New Leases Standard (October 28, 2021)
Will Implementing ASC 842, Leases, Impact Your Taxes? (October 10, 2021)
How the New Lease Standard Could Impact Your Compliance with 4 Common Debt Covenants (August 3, 2021)
Don’t Underestimate the New Leases Standard: How To Be Ready (August 8, 2018)
ASC 842: What It Means to Lessors (September 3, 2021)
How To Know If Your Company Has a Lease Agreement (and What Assets are Included) (June 29, 2021)
How the New Lease Accounting Rules Will Impact Lessors (January 22, 2019)
How the New Lease Standard May Impact EBITDA and Your Company’s Purchase Price (February 21, 2019)
Cohen & Company is well versed on the lease standard. Our technical groups have created tools to assist private companies understand and implement this standard.