Lesson: Introduction to Leases

In this lesson, join Nick Palazzolo, CPA, as he demystifies the world of leases by drawing relatable parallels between familiar personal leasing experiences, such as cars and apartments, and the more complex business leasing arrangements. He sheds light on the fundamental definition of a lease, the benefits of choosing leasing over buying—especially when it comes to the preservation of cash flow—and the striking similarities and financial connections between leases and bonds. Gain insights into why companies opt to lease, the accounting implications, and the key differences between finance and operating leases. With a practical approach, Nick breaks down the classification of leases and the mathematical considerations involved, making a topic that many find challenging more approachable and easier to navigate.