This GASB 87 lessor example details an 8-year office building lease starting July 1, 2022, with rent of $10,000 per month for 2 years, increasing to $12,000 for 6 years, a $1,500,000 fair value, 50-year economic life, and $1,000,000 unguaranteed residual value. Initial booking records $875,598.41 in deferred inflow and $875,598.41 in receivables split between current and long-term. Monthly entries allocate rent payments between interest income and receivables, reclassify long-term to current receivables, and reduce deferred inflows. EZLease setup steps cover inputting lease terms, values, rent steps, and computing the implicit rate for compliance.

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