Under ASC 842, the lease liability is measured at
Under ASC 842, the lease liability is measured at:
A. The present value of future lease payments
B. The fair value of the leased asset
C. The asset's book value
D. The residual value of the asset
Answer: A
Explanation: ASC 842-20-25-1: Lease liability = PV of lease payments (using incremental borrowing rate).

