In 2016, the Financial Accounting Standards Board issued its long-awaited standard requiring lessees to recognize all leases with terms greater than 12 months on their balance sheet as lease liabilities with a corresponding right-of-use asset. This update will have significant implications across all industries as it’s implemented, especially telecommunications. It’s important to understand the new rules and how they differ from today’s rules. We also will take a look at financial and potential regulatory effects the new rules could have.
Upon completion of this program, participants will be able to:
- Identify likely differences between the previous lease guidance and Accounting Standards Update 2016-02 in the telecommunications space
- Account for operating and financing leases
- Identify the new disclosures required for nonpublic companies
- Discuss the potential effects on their financial statements and specific impacts in the regulated telephone space