GETTING READY FOR NZ IFRS 16 LEASES

GETTING READY FOR NZ IFRS 16 LEASES

CHECKLIST - UTILISING EXTERNAL EXPERTS TO ASSIST IN THE ADOPTION OF NZ IFRS 16
Beneficial to
my entity?

Would an external expert be beneficial in assisting the entity with guidance, training, and materials as part of the
1. Information is Power YES / NO / ?
education process around NZ IFRS 16?

Would an external expert be beneficial in assisting the entity in navigating and discussing the adoption of NZ IFRS
2. Have “the chat” 16 that has been decided by the entity’s parent? YES / NO / ?

Would an external expert be beneficial in assisting the entity to:

3. Consequential impact (i) Identify potential exposure areas to the consequential impacts of NZ IFRS 16, and/or YES / NO / ?
areas
(ii) Review and assess documents and agreements of exposure areas?

Would an external expert be beneficial in assisting the entity by detailing the adoption and general application
options that are available, including high-level pro’s and con’s, to then enable the entity to make the decision?
4. Key decisions YES / NO / ?
Would an external expert be beneficial in assisting the entity assess whether a lease software solution may be
necessary given the nature and size of its lease population?

Would an external expert be beneficial in assisting the entity as a “sense check” with their discussions with their
5. “Loop in” the auditor auditors? YES / NO / ?

Would an external expert be beneficial in assisting the entity:

6. Compile information (i) Identify information and documents that will need to be sourced, and/or YES / NO / ?
and documents
(ii) Manage the process of sourcing information and documents?

7. Collate key lease Would an external expert be beneficial in assisting the entity collating key lease information into a centralised
information spread sheet from the information and documents compiled? YES / NO / ?

8. Key management Would an external expert be beneficial in assisting the entity by detailing the key management judgements that YES / NO / ?
judgements need to be made, and the factors that need to be considered when making these judgements?

Would an external expert be beneficial in assisting the entity:

(i) In determining how the lease population should be grouped (i.e. to determine how many discount rates
9. Discount rates YES / NO / ?
are required, and on what parameters), and/or
(ii) In providing guidance as to how discount rates could be determined?

Would an external expert be beneficial in assisting the entity:

10. Run the numbers (i) To develop their lease treatment schedule spread sheet, and/or
YES / NO / ?
(if spread sheet is being used) (ii) To populate the lease treatment schedule spread sheets with lease information, or
(iii) To review the lease treatment schedule spread sheets populated by the entity?

Would an external expert be beneficial in assisting the entity document its adoption of NZ IFRS 16 for auditors,
11. Documentation YES / NO / ?
senior management, and/or the Board?

12. Key management Would an external expert be beneficial in assisting the entity in its approach to communicate the results of YES / NO / ?
judgements adopting NZ IFRS 16 to stake holders?

If you have answered NO to all of the above questions then we wish you well on your NZ IFRS 16 adoption journey – but do keep us in mind if you run into
any “bumps” along the way.
If you have answered YES or ? to any of the above questions then the use of an external expert to assist your entity with the adoption of NZ IFRS 16 may
be necessary, and BDO’s Accounting Advisory Services department (details on the previous page) is available to assist in whatever capacity your entity
requires.
We look forward to hearing from you.