# ASC 842-10-10: Leases — Overall — 10 Objectives

Source: FASB Accounting Standards Codification, Basic View

[Read online](https://asc.understandingaccounting.org/asc/842/10/#10-objectives)

Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.

Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure.

Source downloaded (UTC): 2026-09-10T01:55:49.595Z to 2026-09-10T01:55:49.595Z

Record version: sha256:61cff63327b3c337b85480736f46d4fdc577809edbaf21d77f448c1484fff8d8

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


## ASC 842-10-10: 10 Objectives

[Read section](https://asc.understandingaccounting.org/asc/842/10/#10-objectives)

SEC content: no

##### [842-10-10-1](https://asc.understandingaccounting.org/asc/842/10/#842-10-10-1)

Pending content: no

Source downloaded (UTC): 2026-09-10T01:55:49.595Z to 2026-09-10T01:55:49.595Z

Record version: sha256:91659e4cd89094363310ef12956bee081c4ce276ebaaac3a682016a45ac6e1e0

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


This Topic specifies the accounting for [leases](https://asc.understandingaccounting.org/glossary/l/#lease "A contract, or part of a contract, that conveys the right to control the use of identified property, plant, or equipment (an identified asset) for a period of time in exchange for consideration."). An entity should consider the terms and conditions of the [contract](https://asc.understandingaccounting.org/glossary/c/#contract "An agreement between two or more parties that creates enforceable rights and obligations.") and all relevant facts and circumstances when applying this Topic. An entity should apply this Topic consistently to leases with similar characteristics and in similar circumstances.

##### [842-10-10-2](https://asc.understandingaccounting.org/asc/842/10/#842-10-10-2)

Pending content: no

Source downloaded (UTC): 2026-09-10T01:55:49.595Z to 2026-09-10T01:55:49.595Z

Record version: sha256:5c379acbe6dfc98570d0a17b99688c1a7f2635e4d3904cfeed90aa75ed022610

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


The objective of this Topic is to establish the principles that [lessees](https://asc.understandingaccounting.org/glossary/l/#lessee "An entity that enters into a contract to obtain the right to use an underlying asset for a period of time in exchange for consideration.") and [lessors](https://asc.understandingaccounting.org/glossary/l/#lessor "An entity that enters into a contract to provide the right to use an underlying asset for a period of time in exchange for consideration.") shall apply to report useful information to users of financial statements about the amount, timing, and uncertainty of cash flows arising from a lease.