IFRS 16 Leases – Other issues – CIMA F1 Financial Reporting

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1. jorped says

   February 5, 2025 at 12:39 pm

   There is a small difference when you apply payments in advance against payments in areas. In the previous exercise, because the payment was in advance, the interest was calculated against the liability balance less the first payment (17,729.8) the interest is 886.5. However, when you apply for the payments in areas, the interest is calculated against the liability balance at the beginning (22729.75) so the interest is 1,136.5. The financial engineering changes because at the end of the leasing period, the NPV should be adjusted as well as the interest rate considering the new leasing approach

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