Do I Have a Lease? (Course Id 1927)

• Who is this course for?
  It's designed for anyone needing Continuing Professional Education (CPE), particularly CPAs and accounting professionals.

• What is this course about or what problem does this course solve?
  The course offers an in‑depth overview of how to assess whether an arrangement is or contains a lease, explaining the guidance in ASC Topic 842 and supplemental interpretive guidance from Big 4 firms, including the short‑term lease exception.

• How can the knowledge from this course be used?
  It helps professionals apply the ASC 842 lease definition framework effectively—analyzing whether contracts include identified assets, control over usage, substitution rights, and using the short‑term lease provision correctly.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  Correctly identifying leases is critical to compliant financial reporting; misclassification can lead to material misstatements. ASC 842 now requires nearly all leases to be on‑balance‑sheet, so understanding this is essential. 

• When is this course relevant or timely?
  Released in 2021 and updated on March 1, 2024, it reflects current, authoritative guidance under ASC 842—especially relevant as lease accounting continues to evolve post-implementation.

• How is a course like this consumed or used?
  Delivered via NASBA QAS self‑study (text only), it includes 11 pages of materials, 3 review questions, and a 5‑question final exam for 1.0 CPE credit.

This course provides an in-depth overview of the assessment of whether or not an arrangement is or contains a lease.  This includes a discussion of specific guidance prescribed by ASC Topic 842 as well as additional interpretive guidance provided several of the Big 4 accounting firms.  This course also addresses the short-term lease exception available in ASC Topic 842. 

NASBA QAS - Text - NASBA Registry - 1927

Course Learning Objectives

• Determine whether an arrangement is or contains a lease
• Determine whether an arrangement includes an identified asset
• Identify considerations with respect to substitution rights and decision-making rights
• Recognize the short-term lease exception prescribed by ASC Topic 842

Chapter 1 - Do I Have a Lease?

Course Learning Objectives

Course Overview

Introduction

Lease Definition

Is There an Identified Asset?

Review Questions

Right to Substantially All of the Economic Benefits

Right to Control Use of the Asset

Final Determination

Short-Term Lease Exception

Illustrative Examples – Determining Whether a Contract Contains a Lease

Review Questions

Glossary of Key Terms