RE: THG INGENUITY - 5 GLOBAL FMCG's Signed Up!15 May 2022 15:04
Wel mrsimmons I suggest you take your grief up the insitute of chartered accountants and every business in the UK who are legally bound by IFRS16
The whole point of IFRS16 is to prevent off balance sheet financing. All long term leases should be treated as capital loans on the balance sheet to show the true liabilities and treat it as a capital loan with an interest charge.
Thats the whole point aof IFRS16 and it is the correct legal accounting treatment. Your objection applies to every business in the UK which are all bound by IFRS16.
The rent does through the funds atatement