According to a recent study from Jonathan A. Milian and E. Jin Lee at Florida International University, recognition of operating leases as a result of ASC 842, Leases, caused a significant one-time negative equity market reaction when 2019 quarterly earnings releases came out after companies first recognized leases.

Maria L. Murphy, CPA, is a regular contributor to Compliance Week. She is a senior content management analyst, accounting and auditing products, CCH tax and accounting North America for Wolters Kluwer....