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stadium sales/ leaseback and improvements 2020 march q3 a)

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › stadium sales/ leaseback and improvements 2020 march q3 a)

  • This topic has 1 reply, 2 voices, and was last updated 2 years ago by Stephen Widberg.
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  • August 22, 2022 at 7:25 am #663889
    akhila.vijay93
    Participant
    • Topics: 41
    • Replies: 43
    • ☆☆

    Hi Sir,
    In the question (Liera Co) is stated that the asset is being leased for a period of 10 years.
    So while checking if. a sale has occurred inorder to classify it as a sale and lease back we should know the life. of the asset.
    How did we find it here in the case of stadium?

    August 24, 2022 at 6:03 pm #664168
    Stephen Widberg
    Keymaster
    • Topics: 16
    • Replies: 3404
    • ☆☆☆☆☆

    My best guess is that as a building it will probably last for 50 years. Bit naughty if they don’t mention the life. 🙂

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