Accounting for leases with guaranteed and unguaranteed residual value

Dec 25, 2018
Reaction score
Iran, Islamic Republic Of

We use IAS17 for leases in our country. I have a problem that i don't know how to solve it. In the problem the lessee guarantees $200 residual value and the lessor estimates $100 as unguaranteed residual value.If at the end of the lease the fair value of the residual value is $350 how much gain and loss the lessee and lessor record in their journal entry when the asset returns to the lessor.


Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question

Similar Threads

Residual value - Leased car 2
USA Lease Accounting (Operating Lease) 4
Lease Accounting in lessor books 2
USA Leases 2
USA LLC guaranteed Payments 0
Fair Value 0
USA Leased equipment 5
Q on the value of a ground lease 0