IV95963: Issues with lease partial payments and massive values


In TRIRIGA 10.5.2, the following issues have been seen:

  • (1) When capital leases start and end in the middle of a Semi-Annual, Annual, Quarterly, or Monthly payment period, the first and last period amortization in the fiscal line item (FLI) is not prorated correctly. As a result, the Day 1 right of use (ROU) is incorrect.
  • (2) Massive amounts are appearing in the Capital/Finance Schedule. The Interest Expense, Change in Liability Value, P&L Book Expense, Liability Value, and Net Equity fields are displaying massive amounts, like in the quintillions, even though the total rent is $240K.

We needed to fix the partial payment issue for the current and new lease accounting standards. Moving forward, we fixed an issue that when capital leases start and end in the middle of a Monthly, Quarterly, Semi-Annually, Annually payment period, the first and last period amortization in the FLI is not prorated.

[Admin: To see other related posts, use the Payments tag.]

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How are you running your QA organization to support TRIRIGA?


I want to understand how people are running their QA organization to support TRIRIGA implementations. What kind of automation is being used? What challenges are being faced? I’m trying to start up a discussion around QA testing for TRIRIGA.

[Admin: To see other related posts, use the QA tag or Testing tag.]

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IV96394: Revision to ROU asset when modifying “Finance” RE lease


When a “Finance” (or “Capital”) lease is modified, the new ROU asset balance should be calculated in the same way as future accounting “Operating” lease modifications, that is, the amount of change in the liability balance is added to (or subtracted from) the prior-period ROU asset balance immediately preceding the modification.

Note that this calculation should mirror the calculations that were implemented in TRIRIGA 10.5.2 for future “Operating” lease modifications. Currently, we see that the asset balance is set equal to the re-measured liability balance upon a modification.

Moving forward, when a “Finance” (or “Capital”) lease is modified, the new right-of-use (ROU) asset balance is now calculated correctly. The amount of change in the liability balance is added to (or subtracted from) the prior-period right-of-use (ROU) asset balance immediately preceding the modification.

[Admin: To see other related posts, use the ROU tag.]

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IV96316: Initial liability carryover balance is not applied


For TRIRIGA 10.5.2/3.5.2 OOB, there is an issue with the “Initial Liability Carryover” (ILC) field. In both operating leases and capital leases, when a value is entered in this field, the right of use (ROU) asset in the future accounting schedules is not reduced at Day 1 (against lease liability (LL) and initial direct costs (IDC)).

  • What should happen: Day 1 ROU = Day 1 LL + IDC – Initial Liability Carryover.
  • What is happening now: Day 1 ROU = Day 1 LL + IDC. (No ILC is applied.)

The balance in this ILC field should get pulled into the Day 1 ROU asset balance, and it currently does not. If this field is functioning per OOB, then we need to fix it. It is critical that the transition to the new accounting standards is calculated correctly.

The initial carryover balance (ICB) was not applied to new accounting schedules. Moving forward, if leases are created on or after the look-back period, the initial carryover balance will now be applied to operating leases and finance/capital leases.

[Admin: To see other related posts, use the ROU tag.]

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CoStar: What is the CoStar Data Connector for Lease Accounting?


We have a number of existing enterprise TRIRIGA customers who are retaining their lease data in TRIRIGA (their investment), but using a connected, low-cost, cloud-based solution for lease accounting. The good news is that it works, it’s easy, it’s lower cost, and in production today with Fortune 100 customers with large TRIRIGA investments. Let me know if you have an interest in moving into a lease accounting solution in a low-cost way, while preserving your TRIRIGA investment.

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CoStar Lease Accounting Setup for ASC 842 and IFRS 16 Compliance

  • 1. Connect existing lease management systems with our proprietary Data Connector. You can retain investments in existing lease systems and take advantage of our proven lease accounting functionality while avoiding the costs of upgrading enterprise software.
  • 2. Migrate all existing lease data with our integrated Lease Administration System. You can upgrade existing systems to the smart choice for lease accounting and management, provide access to an unlimited amount of organizational users and departments, and save on long-term costs associated with multiple systems and upgrades.

[Admin: To see other related posts, use the FASB tag or IFRS tag.]

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IV96297: Payment schedule changes accounting type from AR to AP


Our customer needs to understand: When creating payment schedules, why are the payment line items (PLI) tagged with an account type of Accounts Payable (AP) while the lease is tagged as Accounts Receivable (AR)?

Review the lease, and open a payment schedule. Note that the accounting type was changed to Accounts Payable (AP). As soon as you save the payment schedule with Accounts Receivable (AR), it also changed back to Accounts Payable (AP).

Moving forward, we fixed an issue with the “Generate Payment Schedule”, where the system changes the accounting type of Accounts Receivable (AR) to Accounts Payable (AP). When the payment type is “Incentive”, then the system automatically changes it to Accounts Receivable (AR).

[Admin: To see other related posts, use the Payments tag.]

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Why does CI Smart Attach contain extra required fields for Reserve?


We recently upgraded our customer to TRIRIGA 3.5.2. Thus, we had to upgrade the CAD Integrator to 12.1.5.0. Previously, when we used the Smart Attach, only 2 required fields were present: Current Use Space Class and Default Layout. But now, we have these additional required fields: Room Type, Reserve Calendar, Reserve Display Room Name, and Usage Unit. How can we turn off or disable these extra fields? The customer is not using Reserve yet.

In TRIRIGA, by default, the Reserve tab is not visible. But if the user clicks the Reservable check box in the General tab, then the Reserve tab is visible. So, the key is that the Reservable tab is not visible in the form metadata by default. Hence, CI would not consider those fields as required.

However, I assume that in your configuration, these Reserve fields are required? So, if a user creates a new space, they have to fill out the required Reserve fields before they can create it, right? CI is just attempting to emulate this situation.

[Admin: To see other related posts, use the Integrator tag.]

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