Why International Financial Reporting Standard 16 (IFRS 16) Changed Lease Accounting Forever

Master IFRS 16 Leases in just a few minutes! In this comprehensive accounting tutorial, we break down everything you need to know about IFRS 16, from basic definitions to complex journal entries. Whether you are a student preparing for exams (ACCA, CPA, ICAEW) or a working finance professional, this video makes lease accounting simple. 👇 Timestamps: 0:00 - Introduction to IFRS16 1:15 - Key Changes: Old vs. New Lease Standard 3:00 - How to Identify a Lease (The 3 Criteria) 5:30 - Lessee Accounting: Right-of-Use (ROU) Asset & Lease Liability 8:45 - Step-by-Step Journal Entries (with Example) 12:15 - Short-Term & Low-Value Exemptions 14:00 - Lessor Accounting Explained Briefly 16:30 - Summary & Key Takeaways What You Will Learn in This Video: The Core Shift: Why operating leases moved onto the balance sheet. The Formula: How to calculate the initial present value of lease payments. Subsequent Measurement: How to calculate depreciation on ROU assets and interest expense using the effective interest method. Practical Example: A full walkthrough of a corporate lease scenario with numbers. About This Channel: We make complex accounting standards and financial reporting topics easy to understand. Subscribe for more simplified financial tutorials like this IFRS16 video. #LeaseAccounting #AccountingTutorial #FinancialReporting #ACCA #CPA #FinanceEducation #IFRS