We are pleased to announce the release of Qube Horizon 10.2 Service Pack 4, which includes enhanced functionality for the new lease accounting standards.
Our solutions have always operated to enable compliance with core accounting and financial reporting regulations. With the release of Horizon Service Pack 4, customers can meet the new ‘leases on the balance sheet’ requirements.
Leases on the balance sheet
By 2019, many companies will have to add payable leases onto the corporate balance sheet to comply with IFRS 16 and FASB Topic 842, with comparative reporting required from 2018.
By handling the rule changes within Horizon, businesses can automate these calculations that are otherwise time-consuming, prone to error and difficult to audit in a spreadsheet approach.
The enhancements in Horizon Service Pack 4 includes functionality so that both IASB and FASB balance sheet values can be automatically provided for a lease for each and every accounting period. This includes:
- Automatic recalculations and associated balance sheet adjustments when leasing events require it, such as extensions and terminations
- Management of landlord incentives, impairments and dilapidations
- Management of transitional rules
- New disclosure reports providing details of right of use assets, interest, amortisation, cash flow and weighted terms
- Scenario modelling of new leases to aid the decision support on the balance sheet impact of new contracts
Horizon is designed as an open information system and the calculated values can be automatically transferred through to corporate accounting systems to avoid manual journal creation.
Alongside the new lease accounting functionality, there is a wide breadth of additional features for existing customers within Service Pack 4.
Get in touch for more information on Horizon Service Pack 4 and to find out the benefits it can bring your business.