Rent Table and Accounting (IFRS 16/ASC 842 Compliant)

When Nakisa Portfolio Management Suite is operating in a mode compliant with IFRS 16 and ASC 842, lease administrators must create payment terms in the rent table and approve the contract before the accountant can enter accounting information in Nakisa Lease Accounting Suite.

Depending on whether the product is configured as standard or streamlined, the workflow will differ slightly.

For the standard mode of operation:

The accountant must approve and activate the contract, lease component, and activation group in Nakisa Lease Accounting Suite before the contract can be activated in Nakisa Portfolio Management Suite.

For the streamlined mode of operation:

The accountant only enters accounting information in the activation group in Nakisa Lease Accounting Suite before the contract can be activated in Nakisa Portfolio Management Suite.
Note: Default values for the Compounding Frequency and Calendar Type fields must be configured for each company code in the Admin section of Nakisa Lease Accounting Suite before the contract can be approved in Nakisa Portfolio Management Suite.

You can also select an existing lease component in the Accounting form and leave the Rent Table empty. After the contract is activated, the rent table updates with the terms already created in Nakisa Lease Accounting Suite.

An activated contract can be edited by creating a contract version.

For more information, refer to the following topics: