The new lease accounting standard technically applies to all leases from real estate to office equipment. “In reality, however, there is some level of materiality that needs to be considered,” said Denise Hinkle, vice president of client development for Scribcor Global Lease Administration in Oak Brook, Ill.
It’s up to each company to determine what materiality—a financial shift that could alter investment decisions—means for their balance sheet. And items like vending machines, printers, copiers, even computers might not make the cut, Hinkle told Bloomberg Tax.
Source: Accounting Policy & Practice Report® | Bloomberg BNA