Retail Leases: A Research Exercise Examining Archived, Current, and Future Standards

Abstract

Purpose

This exercise exposes students to complex lease transactions, requiring research in the FASB Accounting Standards Codification, archived standards, and future standards (exposure drafts (ED)).

Design/methodology/approach

Case study/exercise/assignment.

Findings

Students analyze how a retail establishment examines lease transactions to ensure its practices are in line with its mission. Students gain experience researching archived, current, and future standards. Student feedback suggests that students feel the exercise is valuable because it reinforces what they learned in earlier courses and it requires them to understand all aspects related to capital and operating leases. Furthermore, direct assessment data based on grading rubrics indicates that most students meet instructor expectations and indirect assessment data based on student perceptions indicates students are meeting the exercise learning outcomes.

Originality/value

This learning exercise fosters critical thinking skills; emulating professional practice issues and enhancing written and communication skills. It reinforces graduate students’ undergraduate learning related to leases.

Citation

Churyk, N.T., Reinstein, A. and Smith, L. (2016), "Retail Leases: A Research Exercise Examining Archived, Current, and Future Standards", Advances in Accounting Education: Teaching and Curriculum Innovations (Advances in Accounting Education, Vol. 19), Emerald Group Publishing Limited, Leeds, pp. 165-193. https://doi.org/10.1108/S1085-462220160000019007