Accounting changes triggered by the new FASB ASC 842 rule on lease liabilities and assets pose a potential risk to company SEC filings. Using our CompnayIQ^® platform, MyLoGIQ has analyzed SEC filings over the past six months to understand how companies are reacting to this new accounting rule.

In this report, you will find seven examples of how and where companies considering ASC 842 elected to disclose it. As expected, the most common disclosure location was in the Summary of Significant Accounting Policies section of Footnotes to Financials. For companies that will have a material impact from ASC 842, we have highlighted a best practice company that disclosed the impact in both the MD&A section as well as the Footnotes to Financials section with language that was consistent across both sections. Lastly, we include three examples that illustrate disclosure solely in the Footnotes to Financials section.