Lease Accounting Fundamentals (Video) (Course Id 1991)

• Who is this course for?
  This 1‑credit NASBA QAS video‑plus‑text preview course is designed for CPAs, financial reporting professionals, and accountants who need a high‑level understanding of ASC 842 lease accounting fundamentals.

• What is this course about or what problem does it solve?
  It provides a general overview of how to determine if an arrangement is a lease, classify finance vs. operating leases, and understand recognition, presentation, and disclosure essentials under ASC 842.

• How can the knowledge from this course be used?
  Learners can apply ASC 842 to identify lease contracts, determine classification criteria, measure right-of-use assets and liabilities at inception, account for modifications, and understand key disclosures and presentation treatment.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  Lease accounting under ASC 842 has fundamental impacts on balance sheet reporting and income statement expense recognition. Professionals must understand classification and disclosure to ensure compliance and transparent financial reporting.

• When is this course relevant or timely?
  Released in 2022 and updated March 2024, the content reflects current standards. Since ASC 842 became mandatory for large public entities in 2019 and private entities in 2021–2022, these fundamentals remain essential for current reporting.

• How is a course like this consumed or used?
  Delivered as a NASBA‑approved video + text self‑study preview course, includes review questions and a final exam (70% passing score); learners earn 1.0 CPE credit upon passing within one year via the provider’s platform.

This course provides a high level overview of the accounting and reporting requirements related to lease transactions as outlined in ASC Topic 842.  This course addresses the process of determining whether an arrangement contains a lease and the resulting lease classification.  This course also addresses recognition requirements as well as some high level presentation & disclosure topics.

Video - NASBA QAS - Text - NASBA Registry - 1991

Course Learning Objectives

• Determine whether an arrangement contains a lease
• List the criteria for lease classification
• Identify how leases are initially and subsequently measured
• Recognize impacts from lease modifications
• Identify presentation and disclosure requirements for lease transactions

Chapter 1 - Lease Accounting Fundamentals

Chapter 1 Review Questions

Glossary of Key Terms