The coach operator Alvéo transfers its fleet of 20 coaches to a leasing company for 740,000 and continues to operate it under a 4-year lease with a repurchase obligation. The fleet has a carrying amount of 520,000 and a fair value of 800,000. The IFRS 15 analysis attached to the file concludes that control of the coaches is not transferred to the leasing company. Which entry does Alvéo record on receipt of the cash?
- Amount received
- 740,000
- Carrying amount of the fleet
- 520,000
- Fair value of the fleet
- 800,000