Operating lease installation costs accounting

“Hey Mike

Hope you are doing great..

A company has acquired asset on operating lease, it has occurred installation cost, What would be the treatment for installation cost?
If you give reference of IAS, it will more than great 🙂

Regards

Leo”

Hi Leo

Here’s a link that should be helpful enough to clear your question

https://www.grantthornton.com.au/files/ta_alert_2010-03_pre-opening_operating_lease_expenses.pdf

Don’t worry about the Australian connection _ think that they are in line with the rest of the World on this matter 🙂