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LEASES

 

 

1. Locate the exposure draft on Leases (Topic 840), print off the cover page, and include it with your project. Do not print off the entire exposure draft (about 138 pages) unless you want a copy for yourself. Appendix B of the exposure draft will be especially useful to you if you find terms and concepts in your assigned letter that you do not understand. Your text is less useful in understanding the letters since it is based on the current lease accounting, not the proposed accounting for leases.
2. Locate your assigned comment letter and print it off. Assignments are on the next page. Include a copy of this letter with your project. I expect the letter to be marked up with your comments and questions. I have a copy, so you don’t need to hand in a pristine copy.
3. Locate and listen to the archived podcast on Leases on the FASB website. This should be your starting point as many of the items in your letters are addressed in this podcast. Your understanding of and analysis of the letter will be better if you listen to this podcast before you read the letter. It lasts about eight minutes. Provide the name of the interviewer and interviewee with your project.

Part Two: Analysis of Letter (6 Points) (Your paper should be at least 800 words.)

1. Name of company (if given)
2. Industry (If given)
3. List of issues addressed
4. Select two issues addressed in the letter and summarize, using your own words, the respondent’s concerns with proposed accounting.
5. Identify and explain something you learned from reading the letter that you found interesting. This is bound to be subjective, so do not feel that this has to be the most important point made by the respondent.
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