Question:

You are a recent accounting graduate and have been employed in the Financial Reporting Unit of Myer Ltd (MYR), an ASX listed retailer. The Risk Management Committee of the Board has become increasingly concerned about the changes in financial accounting standards, and AASB 16 Leases in particular.

With reference to MYR identify and summarise the proposed accounting policies (AASB 16) relating to leases of premises.