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Leases
Leases
1.1 Definitions
A lease is a ‘contract that conveys the right to use an underlying
asset for a period of time in exchange for consideration’.
The lessor is the ‘entity that provides the right to use an underlying
asset in exchange for consideration’.
The lessee is the ‘entity that obtains the right to use an underlying
asset in exchange for consideration’.
A right-of-use asset ‘represents a lessee's right to use an
underlying asset for the lease term’.
(IFRS 16, Appendix A)
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