The interest rate implicit in the lease or; The interest rate at the lessee’s incremental borrowing rate A common proxy for the latter is to use the entity’s regular borrowing rate through their financial institution which approximates the rate at which they could borrow to purchase a similar...
paymentsthatarenotpaidatthatdate.Theleasepaymentsshallbediscountedusingtheinterestrate AASB1610STANDARD FederalRegisterofLegislativeInstrumentsF2016L00233 implicitinthelease,ifthatratecanbereadilydetermined.Ifthatratecannotbereadilydetermined, thelesseeshallusethelessee’srementalborrowingrate. ...
18 Expenditures on a qualifying asset include only those expenditures that have resulted in payments of cash, transfers of other assets or the assumption of interest-bearing liabilities.Expenditures are reduced by any progress payments received and grants received in connection with the asset (see AAS...