This GASB 87 example illustrates a 3-year copier lease at $250 per month, including $41 for maintenance, with a 4% borrowing rate and $8,000 purchase price. The initial right-of-use asset is $7,102.59, split between current and long-term liabilities. Monthly accounting includes recording rent payments, separating maintenance as an expense, accruing interest, amortizing the asset, and reclassifying liabilities. At year-end, disclosures show future payments totaling $5,016, with $203 interest and a $4,813 present value. Upon lease termination, assets and liabilities are removed, and gains or losses recognized. EZLease setup steps ensure accurate classification and compliance.

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