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www.investopedia.com/terms/c/capitallease.asp

A capital lease is a contract entitling a renter to the temporary use of an asset, and such a lease has the economic characteristics of asset ownership for accounting purposes.

pages.stern.nyu.edu/~adamodar/New_Home_Page/AccPrimer/lease.htm

Operating versus Capital Leases . Firms often choose to lease long-term assets rather than buy them for a variety of reasons - the tax benefits are greater to the lessor than the lessees, leases offer more flexibility in terms of adjusting to changes in technology and capacity needs.

www.accountingtools.com/articles/what-are-the-criteria-for...

A capital lease is a lease in which the lessor only finances the leased asset, and all other rights of ownership transfer to the lessee . This results in the recordation of the asset as the lessee's property in its general ledger , as a fixed asset . The lessee can only record the interest

www.thebalancesmb.com/capital-leases-versus-operating...

A capital lease is a lease of business equipment which represents ownership and is reflected on the company's balance sheet as an asset. A capital lease, in contrast to an operating lease, is treated as a purchase from the standpoint of the person who is leasing and as a loan from the standpoint of the person who is offering the lease, for accounting purposes.

www.businessdictionary.com/definition/capital-lease.html

To be considered a capital lease, a lease must meet one or more of these four criteria: (1) title of the asset passes automatically from the lessor to the lessee at end of the lease term, (2) lease contains a bargain purchase option under which the lessee may acquire the leased-asset at less than its fair market value at the end of lease term, (3) lease term is for a period longer than the 75 ...

www.investorwords.com/722/capital_lease.html

Definition of capital lease: A lease that meets one or more of the following criteria, meaning it is classified as a purchase by the lessee: the lease...

accounting-financial-tax.com/2008/09/accounting-for-lease...

In a lease arrangement, the owner-lessor agrees to rent an asset (machinery, equipment, land, or building) to the tenant-lessee for a set number of periods at a fixed rental fee per period. Leases can be broadly classified as either operating leases or capital leases. If the lease agreement transfers a material ownership interest from the […]

www.diffen.com/difference/Capital_Lease_vs_Operating_Lease

There are two kinds of accounting methods for leases: operating and capital lease.A vast majority are operating leases. An operating lease is treated like renting -- payments are considered operational expenses and the asset being leased stays off the balance sheet. In contrast, a capital lease is more like a loan; the asset is treated as being owned by the lessee so it stays on the balance sheet.

www.wikihow.com/Account-for-a-Capital-Lease

How to Account for a Capital Lease. A lease agreement refers to the act of one company lending an asset to another company, in exchange for periodic rent payments (like renting an apartment, for example). Capital leases are one form of...

corporatefinanceinstitute.com/resources/knowledge/...

The difference between a capital lease vs operating lease is a relatively advanced concept and is unlikely to come up in entry-level finance interviews. However, it is useful to understand the difference between the two types of leases and their respective accounting treatment. Capital leases are counted as debt. They