Why new accounting standards?
IFRS-16 & ASC-842
The Financial Accounting Standards Board (FASB) and the International Accounting Standard Board (IASB) have released new standards, ASC 842 and IFRS 16 respectively. Starting in 2019 new lease accounting standards will be effective.
All companies that lease assets in the course of their business will see an
increase in reported assets and liabilities. Under the new standards, IFRS 16 and ASC 842, companies will carry all material leases on their balance sheet, using a common methodology.
Both standards were developed in collaboration by the two boards and they share many similarities and at the same time they differ. The major difference resides in the classification of finance and operating lease under ASC-842. Under IFRS-16 all leases will be considered finance lease.
Let us do the analysis
We have consulted for you.
At Infosite we have consulted with one of the big four accounting firm for the development of the software.
Implementing the new standard will require a substantial effort by the client and our objective was to develop the a software that would be simple, easy to understand and flexible in order to assist the client, under IFRS-16 and ASC-842 lease accounting calculations.
Choosing Infosite Lease Accounting
Choosing Infosite Lease Accounting allows you to connect to many sources of data to perform your lease accounting calculations. If you need a software to help manage contracts or real estate leases we also have the solution you need.
Infosite Lease Accounting is available in three different versions:
Handles all of your accounting needs
In order to prepare for these new accounting standards, you will need to address the following questions:
IFRS-16 and ASC-842 Accounting
Principles behind the software
Every calculation is saved and can be tracked for future references
For every calculation performed we assign a name and a unique revision number. We like to interchange a calculation and a revision
Every revision (calculation) is locked as soon as it is batched to be transferred to accounting.
Until processed the first time a revision remains open for changes. As soon as a revision is processed to accounting it can no longer be revised or changed. It can only be restated to a new revision. This way you always have access to the backup of the data that was sent to accounting.