RIGHT OF USE ASSETS AND LEASE LIABILITIES

12 Months Ended

Oct. 31, 2021

Right Of Use Assets And Lease Liabilities

RIGHT OF USE ASSETS AND LEASE LIABILITIES

3. RIGHT OF USE ASSETS AND LEASE LIABILITIES

 
During the quarter ended April 30, 2019, the Company implemented Accounting Standards Update 2016-02, leases. Under the new guidance, a lessee must record a liability for lease payments (referred to as the lease liability) and an asset for the right to use the leased asset during the lease term (referred to as the right of use asset) for all leases, regardless of whether they are designated as finance or operating leases. This election requires the lessee to recognize lease expense on a straight-line basis over the lease term. The right of use assets and corresponding right of use liabilities have been recorded using the present value of the leases. See Notes 15 and 16 within the financial statement for additional disclosure on leases.