Most finance teams know they need to capitalize commissions under ASC 606 — but building the actual amortization schedule is where things break down. Here’s a step-by-step walkthrough with journal entries and a practical Excel approach.
ASC 842 journal entries trip up even experienced controllers. The initial recognition entry, the monthly operating lease expense, and the finance lease split between depreciation and interest all follow specific patterns. Here’s every entry you need, with real numbers.
Both standards eliminate off-balance-sheet operating leases, but ASC 842 and IFRS 16 diverge on lease classification, discount rates, short-term exemptions, and income statement presentation. If you report under both — or are switching — here’s what actually differs.
Under ASC 842, every lease is either operating or finance — and the classification changes your income statement, cash flow, and audit disclosures. Here’s how to classify correctly and account for each type.
A reliable month-end close comes down to a repeatable checklist and the right supporting schedules. Here’s the full sequence — from Day 1 through final signoff — with specific focus on the technical areas that trip up growing finance teams.