Post by account_disabled on Dec 24, 2023 13:30:37 GMT 7
Aentitles us to assume in advance that the lessee will exercise the option even if that purchase price is much lower than the market value of the asset at the end of the lease. On the contrary for example in the joint occurrence of the situations described in paragraph b and c of IAS which it is not hard to imagine it is my view that there is a greater likelihood that a transfer of ownership will not take place. . The interpretation of Article b of Directive which I propose is consistent with the wording of that provision.
I would point out that that provision Country Email List covers agreements containing a clause which provides that in the normal course of events ownership is to pass at the latest upon payment of the final instalment. . An agreement must therefore first of all contain an ownership transfer clause. Such a clause can be either a decision automatically to transfer ownership by the end of the agreement term or an option to purchase the leased asset. On the other hand agreements which do not contain any decision on the transfer of ownership cannot be covered by that provision. . Second transfer of ownership must follow from the normal course of events.
A normal course of events should therefore be regarded as a series of events envisaged by the agreement that is to say the normal performance of an agreement. This concept may also be extended to include activities such as exercising a right to purchase which although optional in formal terms is in practice the only economically rational course of action. in which the lessee has a genuine choice from an economic point of view as then in the normal course of events transfer of ownership has the same chance of occurring as.
I would point out that that provision Country Email List covers agreements containing a clause which provides that in the normal course of events ownership is to pass at the latest upon payment of the final instalment. . An agreement must therefore first of all contain an ownership transfer clause. Such a clause can be either a decision automatically to transfer ownership by the end of the agreement term or an option to purchase the leased asset. On the other hand agreements which do not contain any decision on the transfer of ownership cannot be covered by that provision. . Second transfer of ownership must follow from the normal course of events.
A normal course of events should therefore be regarded as a series of events envisaged by the agreement that is to say the normal performance of an agreement. This concept may also be extended to include activities such as exercising a right to purchase which although optional in formal terms is in practice the only economically rational course of action. in which the lessee has a genuine choice from an economic point of view as then in the normal course of events transfer of ownership has the same chance of occurring as.