The lease liability should be calculated as the present value of the sum of (1) the remaining minimum rental payments (as defined under ASC 840) and (2) any amounts probable of being owed by the lessee under a residual value guarantee.
A lessee should measure the operating lease right-of-use asset at an amount equal to the lease liability, adjusted for the following:
Prepaid or accrued rent
The remaining balance of any lease incentives
Unamortized initial direct costs
Any impairment
The carrying amount of any liability related to the lease is recognized under ASC 420, Exit or Disposal Cost Obligations.
In Cradle, you input these figures in the Initial Recognition tab:
