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What would be the accounting treatment for lessor for restructuring of finance lease.
Lessor was getting 500 dollars (principal plus interest) for a machine on finance lease.
The lessee defaulted on some payments and now both parties have agreed to increase interest by 1% and charge penalty @20% p.a on overdue interest at that time.
I think this is beyond the realms of FR, so you do not need to worry about it.