Purpose
Leasing processing is used to administrate and monitor leased assets from the perspective of the lessee.
In comparison to acquired assets, leased assets require the lessee to pay particular attention to accounting requirements. This is because during the leasing period these assets remain the legal property of the lessor or manufacturer.
Depending on the legal terms, the leased assets can be capitalized and depreciated (capital lease method) or they can flow into the P&L as periodic rental expenses (operating lease method). For the purposes of consolidated group accounting, you can record the complex fixed asset under book depreciation per trade law using the Operating Lease Method and in the group depreciation area with Capital Lease Method (Mixed Method). We describe all of these possibilities in this process.
You can find more information about this process under
.You can find the data for this process under
.Process Flow
The Capital Lease Method
The Mixed Method
The Operating Lease Method