Finance lease and Project management: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Embed page links to accounting standards.)
 
imported>Doug Williamson
(Add link.)
 
Line 1: Line 1:
A finance lease usually involves the lessee (user of the asset) paying - over the life of the lease - the full cost of the asset plus a return on the finance effectively provided by the lessor.
''Business skills - planning and projects.''
 
The lessee-user effectively retains substantially all the risks and rewards of ownership.
However, the lessee does not obtain legal title to the leased asset.


Accounting standards require finance leases to be accounted for 'on balance sheet' by the user of the asset.
Project management is the discipline and skill of designing and implementing significant projects.


This means that the liability to pay (the capital element of) the future lease instalments is recognised and disclosed on the face of the balance sheet.
Especially when using a recognised project management structure such as PRINCE2, agile or waterfall methodologies.
 
 
Relevant accounting standards include [[IAS 17]], Section 20 of [[FRS 102]] which incorporates practice from the former [[SSAP 21]], and IFRS 16.
 
 
Finance leases are also known as ''capital leases'', especially in the US.




== See also ==
== See also ==
* [[Actuarial method]]
* [[Adverse selection]]
* [[Finance charge]]
* [[Agile]]
* [[Hire purchase]]
* [[Association for Project Management]]
* [[IFRS 16]]
* [[Business skills]]
* [[IAS 17]]
* [[Gantt chart]]
* [[FRS 102]]
* [[Infrastructure and Projects Authority]]
* [[SSAP 21]]
* [[Planning and projects]]
* [[Implied rate of interest]]
* [[PRINCE2]]
* [[Lease]]
* [[Project analysis]]
* [[Off-balance sheet finance]]
* [[Project Management Institute]] (PMI)
* [[Operating lease]]
* [[Safety margin]]
 
* [[Waterfall methodology]]
 
 
===Other links===
[http://www.treasurers.org/node/8924 Students: A Lesson on leases, The Treasurer, April 2013]


[[Category:Accounting,_tax_and_regulation]]
[[Category:Commercial_drive_and_organisation]]
[[Category:Corporate_finance]]
[[Category:Influencing]]
[[Category:Self_management_and_accountability]]
[[Category:Working_effectively_with_others]]
[[Category:Knowledge_and_information_management]]
[[Category:Planning_and_projects]]

Revision as of 11:30, 30 June 2022

Business skills - planning and projects.

Project management is the discipline and skill of designing and implementing significant projects.

Especially when using a recognised project management structure such as PRINCE2, agile or waterfall methodologies.


See also