Accounting For Finance Lease is a financial arrangement in which one party (the lessor) leases out an asset to another party (the lessee) and that lease contains a provision allowing the lessee to purchase the asset at the end of the lease term. It is important for businesses to understand their obligations under the terms of each finance lease, as accounting rules differ depending on your specific circumstances. The International Accounting Standards Board (IASB) offers a comprehensive guide to Accounting for Finance Leases, outlining how these arrangements are to be reported in financial statements. In short, if you’re an accountant and want to stay up-to-date with the latest accounting reforms, it’s essential that you get familiar with Accounting for Finance Leases!