Lease Liability Recompute
Recompute a fixed-payment lease liability and compare it with the reported amount.
Description
Fixed-payment lease liability is a present value under a supplied periodic discount rate and end-of-period payment model.
Fixed-payment lease liability is a present value under a supplied periodic discount rate and end-of-period payment model.1
Recompute a fixed-payment lease liability and compare it with the reported amount.
When to use Lease Liability Recompute
Use this tool to recompute a fixed-payment lease liability and compare it with the reported amount.
Prepare the documented facts, aligned totals or expected/observed evidence labels requested. Choose applicable requirements and thresholds separately before interpreting a planning screen.
How to use Lease Liability Recompute and understand its results
- Prepare the documented facts, aligned totals or expected/observed evidence labels requested. Choose applicable requirements and thresholds separately before interpreting a planning screen.
- Enter periodicPayment, periodicDiscountRatePercent, remainingPeriods, reportedLiability, tolerance using the field table and calculation rules, then run the tool.
- Read recomputedLiability, difference, withinTolerance. The explanation below defines the units, signs, ordering and any flags or placeholder values.
- If the tool reports an input issue, correct the values and run it again. Apply the stated assumptions when interpreting a successfully returned result.
| Input field | Meaning | Value type; see rules below | Requirement |
|---|---|---|---|
| periodicPayment | Periodic lease payment | number; minimum: 0 | Required |
| periodicDiscountRatePercent | Periodic discount rate (%) | number; minimum: 0 | Required |
| remainingPeriods | Remaining payment periods | integer; minimum: 0 | Required |
| reportedLiability | Reported lease liability | number; minimum: 0 | Required |
| tolerance | Allowed difference | number; minimum: 0 | Required |
Enter nonnegative payment/rate/reported liability/tolerance and integer periods. Return PV, reported−PV and inclusive absolute-tolerance flag.
PV=payment(1−(1+r)^−n)/r; r=0→payment×n Units, indexing, boundary conditions and exceptional cases are defined in the calculation rules above.
| Output field | Meaning | Value type |
|---|---|---|
| recomputedLiability | Recomputed lease liability | number; minimum: 0 |
| difference | Reported minus recomputed liability | number |
| withinTolerance | Within supplied tolerance | boolean |
{
"input": {
"periodicPayment": 100,
"periodicDiscountRatePercent": 0,
"remainingPeriods": 10,
"reportedLiability": 1000,
"tolerance": 0
},
"output": {
"recomputedLiability": 1000,
"difference": 0,
"withinTolerance": true
}
}Limitations and assumptions
No lease classification, commencement timing, variable payments or accounting-policy compliance is assessed.
Numeric inputs, where present, must be finite. Follow the calculation-specific rules for overflow, underflow and exceptional cases. Missing required fields, extra fields, wrong value types and violations of the calculation rules are input errors. A successfully returned false flag is an evaluated outcome; its meaning is explained above.
Alternative or Complementary methods
Use Software Cost Allocation: Allocate software costs between capitalized and expensed amounts. For a complementary task, use Allowance Migration Recompute: Recompute segment and total allowance from caller-supplied exposures and loss rates.
References
-
Lease Liability Recompute — tool.io
Similar or alternative tools
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