What is Operating lease?

Any lease of property that does not meet the conditions of a finance lease: the property is provided for temporary use and remains on the lessor's balance sheet (NAS No. 6, paragraph 7). The lessee accounts for rent paid in advance for future periods in account 3110, and the lessor accounts for the payment receivable in account 4820 (NAS No. 21, paragraphs 158 and 207).