Description:

The first of two webinars, this session will focus on the basic accounting and financial reporting for leases under Governmental Accounting Standards Board (GASB) Statement No. 87, Leases, which is effective for periods beginning after June 15, 2021. This seminar is designed to provide participants with a solid working knowledge of the new accounting for contracts that conveys control of the right to use the service capacity of another entity's nonfinancial asset(s), and ways in which to identify key contract provisions, including lease term and effective interest rate.

Objectives:

• Understand what types of contracts constitute a lease for accounting and financial reporting purposes.
• Using example contract language, distinguish the key provisions of a contract that must be analyzed to properly assess each lease’s term and the appropriate discount rate.
• Calculate the lease assets and liabilities, and prepare the required journal entries to record the following, from the point of view of lessee and lessor governments:
• Inception of a lease
• Periodic payments in accordance with lease terms.

Course level: Intermediate

CPE credits: 2

Prerequisite: Basic understanding of governmental generally accepted accounting principles.

This course will benefit: Those responsible for the oversight, accounting, and financial reporting for government contracts.

Who Will Benefit: Those responsible for the oversight, accounting, and financial reporting for government contracts.