The evaluation of new methodological approaches to lease reporting on the side of lessor

Abstract

Since 2002 the International Accounting Standards Board (IASB) and the Financial Accounting Standards Board (FASB) has begun significantly cooperate in the development of standards based on the same principles. The cooperation is realised through a series of short term or long term projects. Revenue recognition and lease reporting projects represent priority areas of convergence. The development of methodological approaches for lease reporting on the side of lessee and lessor that would eliminate the main weaknesses of the current system of reporting based on the classification of lease contracts in connection with the lease term and the transfer of risks and benefits associated with the lease to the lessee should be the result of the convergence activity in the area of lease reporting. The evaluation of the impact of the newly proposed methodological approaches to lease reporting in the field of operating leases into the financial statements of lessor that will be affected by this change of methodology (financial position, comprehensive income statement) is the main aim of the paper. The impact into selected indicators of financial analysis with a focus on indicators, in whose construction are used items of statements that are significantly affected by the change of the methodological approach is evaluated as well.