Accounting for Lease: A Critical Review

This paper presents a critical view of accounting for lease, outlining the implications of the new AASB 16 on companies. It compares the old accounting standard (AASB 117) with the new standard and discusses the reasons for the change. The paper also examines the effects of the new standard on companies with significant lease financing and explores the tendency of companies to classify leases as operating leases. Overall, it provides a comprehensive analysis of the accounting for lease.