Prerequisites

Before you can process the lease accounting report to classify current and non-current balances for right-of-use assets and lease liabilities, you must ensure that the following tasks have been completed: The following Automatic Accounting Instructions (AAIs) and corresponding accounts have been set up:

1. Lease Liability Current (LLC)
2. Lease Right-of-Use Asset Current (LRC)

After the AAIs and corresponding accounts have been set up, complete the following tasks before running reclassification journal entries:

1. Set up a lessee lease.
2. Set up recurring billing information.
3. Update Lease Liability Status to 10.
4. Create the amortization schedule.
5. Process recurring billings for the accounting period in question.
6. Process Balance Sheet Lessee Accounting Journals (R15180) for the leases and accounting period in question.