Definitions for "capital lease"
Keywords:  fasb, lessee, bargain, criteria, lease
A lease that meets one or more of the following criteria, meaning it is classified...
A lease that has the characteristics of a purchase agreement. A Capital lease is treated by the lessee as both the borrowing of funds and the acquisition of an asset to be depreciated; thus the lease is recorded on the lessee's balance sheet as an asset and the corresponding liability (lease payable). Periodic lease expenses consist of interest on the debt and the depreciation of the asset.
A capital lease is a lease that transfers substantially all the benefits and risks inherent in the ownership of property to the University. The criteria for a capital lease can be found at the State Administrative and Accounting Manual website.
Keywords:  loss, market
Capital loss Capital market
See financial accounting standards