IFRS Case $153$ Lease classification; U$.$S$.$ GAAP LO$151,$ LO$152,$ LO$154,$ LO$159$ IFRS Security Devices Inc. $($SDI$)$ needs additional office space to accommodate expansion. SDI wants to avoid income statement effects that would disrupt its attempts to $$smooth$$ income over time. Required: Which lease classification would management prefer? Would meeting its reporting objective be more difficult or less difficult under IFRS?