IFRS Lease / US GAAP Finance Lease " Year 1 Year 2 Year 3 (in $ thousands) Lease Payments 50 50 50 Balance Sheet Assets Cash 0 450 900 1,350 Right-of-Use Asset, Net 147 Total 147 450 900 1,350 Liabilities and Equity Lease Liability* 147 Retained Earnings 0 450 900 1,351 Total 147 450 900 1,351 Income Statement Gross Profit 500 500 500 Lease Expense 0 0 0 EBITDA 500 500 500 Amortization Expense (straight-line) 49 49 49 EBIT 451 451 451 Interest Expense 1 0 0 Net Income 450 451 451 *Lease liability would typically be split into current and noncurrent portions. For simplicity, this template reports the entire liability on one caption