This has probably been answered somewhere in the archives but I couldn't find it.. When I lease an aircraft to someone and they pay the 4 months worth of lease payments up front who does that money go to?? It doesn't come to me either on my income statement or my cash flow statement... Who get's it? thanks chuck
It goes to the player owning the plane. (Yes, it comes to you.)
When??
The transaction of leasing an aircraft (paying the down payment) does not appear on the income statement of either lessor or lessee.
It appears on the balance sheet (and cash flow statement) as a prepayment.
I understand it doesnt show up on the income statement.. okay.. in GW-4 I leased out a 757 during week 10 for 877,600/month.. that should amount to about a 3.5 mil prepayment.. Looked at both my cash flow and balance sheet for week 10- no significant change from week 9.. Week 11- no significant change.. Week 12- no significant change... Where did the 3.5 go??
Balance sheet >> CASH FLOW FROM INVESTING ACTIVITIES (section) >> Capital Revenues (fixed assets), click to expand >> there are three lines (sold aircraft, aircraft lease income, aircraft lease prepayments) (that's the one)
FOUND IT!! ;D ;D Thanks for teaching me something new!! chuck