Calculated by EZLease; found on the Main data tab. The capitalized value of the lease. Under FAS 13, this is the lower of the present value of the rents at the incremental borrowing rate (or implicit rate, if that was used for the 7(d) capitalization test), or the fair value. It is equal to the present value of the rents at the capital rate. It is a positive number on reports, to indicate a debit.
Under ASC 842/IFRS 16, the right-of-use asset starts with the present value of the rents at the appropriate discount rate, which is the incremental borrowing rate (not limited by the fair value), unless the implicit rate (which should reflect the lessor's initial direct costs as well as unguaranteed residual) if known. To this is added any lessee's initial direct costs, then lease incentives are subtracted.
When a finance lease is revised, the right-of-use asset is recalculated, even if the original right-of-use asset was specified. (Both the asset and liability increase or decrease by the change in the present value of the remaining rent.) Each revision of a lease will show what the right-of-use asset was while that revision was in effect.
Calculating Initial Liability and ROU | Specified Right-of-Use Asset