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Accounting

  Accounting   |   Terms
  • 935
  • February 24, 2021
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URV

It stands for unguaranteed residual value; a part of the residual value of a leased asset whose realization by the lessor is not guaranteed exclusively by a party related to the lessor. It is the estimated residual value of the leased asset at the end of the lease term. If a guaranteed residual value (GRV) is available, then the unguaranteed residual value is the amount by which the estimated value exceeds the guaranteed portion. At the expiration of the lease term, the receivables account of a lessor shall be equal to the unguaranteed residual value. Year-to-year, decreases in the estimated residual value are typically recognized as a loss in the lessor’s accounts.


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