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Ask the Tutor ACCA FR

Lease.

Sseista9y ago
The rent to be paid of operating lease.. i wonder it comes under which part of sofpl… is it cost of sales ?.
MikeLittleMikeLittleTutor9y ago#1
That depends really on what sort of class of asset it is If it's office machinery, it would probably be included within Administrative Expenses If it's a fleet of vans for the delivery of goods, that would probably go in Selling and Distribution Costs If it's production machinery, the lease cost would probably be included within cost of sales OK?
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