Daily Archives: July 17, 2024

Impact of lease accounting on financial ratios

The impact of lease accounting on financial statements is substantial. Financial ratios are important tools used in accounting and financial analysis to gauge a company’s overall financial health. They are derived from financial statements like the balance sheet, income statement, and cash flow statement. These ratios can help in assessing various aspects of a business,…

Regulatory Aspects of Leasing Activities

The paramount job of a regulator is ensuring transparency, professional reliability, and minimum damage to the public interest. In India, the Regulatory body for financial leases is the Reserve Bank of India (RBI). As per RBI regulations, it is mandatory for a company that is in the business of financing to have a certificate of…