Present value of lease payments
In one sentence
The present value of lease payments is the sum of each future payment divided by (1 + periodic rate) raised to the number of periods until that payment.
The present value (PV) of lease payments is the discounted value of all lease payments over the term and forms the initial lease liability. Payments in advance (annuity-due) are discounted one period less than payments in arrears. The periodic discount rate is the annual rate divided by the number of payment periods per year.
Cite: ASC 842-20-30-1
See Present value of lease payments in a real calculation
Enter a lease and Ledgerage computes it — every figure traced back to the standard.