The following Trueblood case is recommended for use with this chapter. The case provides an excellent opportunity for class discussion, group projects, and writing assignments. The case, along with Professor's Discussion Material, can be obtained by searching for “Trueblood Cases” on the Deloitte Foundation website: www.deloitte.com.

Case 07-7: Porky's Revenge

This case gives students the opportunity to extend their knowledge beyond chapter coverage by determining the lease commencement date. It focuses on a major issue in accounting for leases, but one which had often not been appropriately applied, resulting in incorrect accounting for many leases. It pertains to the situation described in the chapter in which over 200 companies in early 2005 accounted incorrectly for leases.