Test your understanding - Lessee Accounting

Froggy Jumps

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MFRS16

Créé par

DR RINA FADHILAH ISMAIL

Malaysia

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Test your understanding - Lessee Accounting


Froggy Jumps Test your understanding - Lessee AccountingVersion en ligne MFRS16 par DR RINA FADHILAH ISMAIL 1 What must a lessee recognize at lease commencement under MFRS16? a Operating lease expense only b Right-of-use asset and lease liability c Prepaid lease expense and rent 2 How is the lease liability initially measured? a Present value of lease payments discounted using the rate implicit in the lease b Original lease value without discounting c Future operating cash outflows 3 What rate is used to discount lease payments if the rate implicit in the lease isn’t readily determinable? a Market rate of return b Lessee’s incremental borrowing rate c Lessor’s interest rate 4 Which exemptions does MFRS16 allow for lessees? a Only finance leases are exempt b Short-term leases and leases of low-value assets may be exempt from recognizing ROU assets c All leases must be recognized regardless 5 How is the lease term defined in MFRS16? a Non-cancellable period plus periods covered by renewal or termination options that are reasonably b Only the initial term c Only the non-cancellable period 6 How are lease payments generally allocated for a lessee? a A portion reduces the lease liability and a portion is interest expense b All as lease expense when paid c All as depreciation of ROU asset 7 Do initial direct costs form part of the ROU asset under MFRS16? a Only if incurred by the lessee b No, they are not included in the ROU asset c Yes, always included 8 On the Statement of Financial Position, how should a lessee present the lease? a Separately as a right-of-use asset and a lease liability b As operating lease expense only c As a combined asset 9 Commencement date is.......... a the earlier of the date of the lease agreement and the date of commitment by the parties b an inception date of a lease c an initially date of a lease liability 10 A lease payment can include the follwing, except....... a fixed payments b flexible payments c payments for terminating the lease 11 Direct costs of a lease are the followings, except............ a Cost of arranging collateral b Commission c General overheads 12 Which is the following is correct? a depreciation period runs to the end of useful life if ownership is not transferred to lessee b depreciation period runs to the end of useful life if ownership is transferred to lessee c depreciation period runs to the end of the lease term if ownership is transferred to lessee 13 Low-value item that is permitted not to apply MFRS16 ........ a Tablet b Lorry c Factory 14 A lease exist when......... a the customer controls the use of identified asset b the customer has no right to obtain substantially all the economic benefits c the customer do not have direct use of the identified asset 15 A substantive right is defined as below, except........ a The supplier would benefit economically from the exercise of its right to substitute the asset b the supplier has a practical ability to substitute alternative assets c the supplier does not have the right to use the assets

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Test your understanding - Lessee Accounting

Froggy Jumps

À propos de cette activité

Créé par

Téléchargez la version pour jouer sur papier

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Test your understanding - Lessee AccountingVersion en ligne

par DR RINA FADHILAH ISMAIL

What must a lessee recognize at lease commencement under MFRS16?

How is the lease liability initially measured?

What rate is used to discount lease payments if the rate implicit in the lease isn’t readily determinable?

Which exemptions does MFRS16 allow for lessees?

How is the lease term defined in MFRS16?

How are lease payments generally allocated for a lessee?

Do initial direct costs form part of the ROU asset under MFRS16?

On the Statement of Financial Position, how should a lessee present the lease?

Commencement date is..........

A lease payment can include the follwing, except.......

Direct costs of a lease are the followings, except............

Which is the following is correct?

Low-value item that is permitted not to apply MFRS16 ........

A lease exist when.........

A substantive right is defined as below, except........