Does Your Contract Have an Embedded Lease?
Download this free worksheet to help determine whether your contract includes an embedded lease under GASB-87
Some contracts will not specify that they are leases but rather have characteristics within them that indicate the contract includes payments for the right-to-use an underlying capital asset (e.g. a building, vehicle, equipment, etc.). These types of leases are called embedded leases because they are included within nonlease contracts (e.g., service contracts) and involve control of the right to use another entity’s nonfinancial asset.
This worksheet will guide you through the process of determining if your contract includes an embedded lease under GASB-87.
Disclaimer: DebtBook does not provide professional services or advice. DebtBook has prepared these materials for general informational and educational purposes, which means we have not tailored the information to your specific circumstances. Please consult your professional advisors before taking action based on any information in these materials. Any use of this information is solely at your own risk.