Under the The International Accounting Standards Board rule, IAS 17: Leases, if a ﬁrm leases out an asset as an operating lease, which of the following applies:

Question

Quizplus · Accepted Answer

Under IAS 17, when a firm leases out an asset as an operating lease, the lessor retains effective ownership of the asset (A), the asset is recorded on the firm's balance sheet (B), it must be depreciated over its useful life (C), and the lease income is recognized as revenue in the income statement (D). Therefore, all of the statements apply.

Under the The International Accounting Standards Board Rule, IAS 17