Basically, all operating leases are now capitalized as of Jan 2019 (hence depreciation and interest expense, and BS terms). For comparability, have to capitalize Pre-IFRS and Pre-ASC 842 operating leases (multiply by 8 rule). Both rules effective Jan-2019. US GAAP operating leases still shown as rental expense.
Pre-IFRS 16 and Pre-ASC 842
- Operating Leases:
- US GAAP: Rent expense
- IFRS: Rent expenses
- Capital Leases:
- US GAAP: Depreciation & Interest expense
- IFRS: Depreciation & Interest expense
Post-IFRS 16 and Post-ASC 842
- Operating Leases:
- US GAAP: Rent expense
- IFRS: Depreciation & Interest expense
- Capital Leases:
- US GAAP: Depreciation & Interest expense
- IFRS: Depreciation & Interest expense
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