Whether the depreciable life of the financial leasing equipment is the useful life or the lease term, the depreciable life of the leased asset should be determined in accordance with the following pri

Whether the depreciable life of the financial leasing equipment is the useful life or the lease term, the depreciable life of the leased asset should be determined in accordance with the following principles. For the depreciation of fixed assets under finance leases are generally determined in accordance with the following principles:

1, if it can be determined that at the end of the lease term the lessee will obtain the ownership of the leased asset, the lease should be used as the beginning of the lease the useful life of the leased asset as the depreciation of the useful life.

2, if it is not certain that the lessee can obtain ownership of the leased asset at the end of the lease term, the depreciable life should be the shorter of the lease term and the useful life of the leased asset (generally for the lease term).

The above is for reference only, please verify and follow the law.