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Leases
12 Months Ended
Dec. 31, 2019
Leases [Abstract]  
Leases

16.

LEASES

 

Operating leases

 

The Group's leases consist of operating leases for administrative office spaces and enrollment centers in different cities in the PRC. For leases with terms greater than 12 months, the Group records the related asset and lease liability at the present value of lease payments over the term. As of December 31, 2019, the Group did not have additional operating leases that have not yet commenced. As of December 31, 2019, the Group had no long-term leases that were classified as a financing lease. Short-term lease cost for the year ended December 31, 2019 was immaterial.

 

Total operating lease expenses for the year ended December 31, 2019 were RMB96,165, recorded in cost of revenues, selling expenses, research and development expenses and general and administrative expenses on the consolidated statements of operations.

 

 

 

Year ended

December 31,2019

 

 

RMB

Cash paid for amounts included in the measurement of lease liabilities:

 

 

Operating cash flows from operating leases

 

85,717

Right-of-use assets obtained in exchange for new lease obligations:

 

 

Operating leases

 

126,099

Weighted average remaining lease term

 

 

Operating leases

 

12.2 years

Weighted average discount rate

 

 

Operating leases

 

6.7%

 

The following is a maturity analysis of the annual undiscounted cash flows for lease liabilities as of December 31, 2019:

 

 

 

RMB

 

2020

 

 

91,182

 

2021

 

 

75,342

 

2022

 

 

72,690

 

2023

 

 

72,576

 

2024

 

 

75,026

 

2025 and thereafter

 

 

587,588

 

Total future lease payments

 

 

974,404

 

Less: Imputed interest

 

 

317,922

 

Total lease liability balance

 

 

656,482

 

 

16.

LEASES - continued

Operating leases - continued

 

Future minimum payments under non-cancelable operating leases related to offices and enrollment centers consisted of the following at December 31, 2018:

 

 

RMB

 

2019

 

 

110,796

 

2020

 

 

97,949

 

2021

 

 

90,347

 

2022

 

 

83,251

 

2023 and thereafter

 

 

698,995

 

 

 

 

1,081,338

 

 

Payments under operating leases are expensed on the straight-line basis over the periods of their respective leases. The terms of the leases do not contain rent escalation or contingent rents. For the years ended December 31, 2017, 2018 and 2019, the total rental expenses for all operating leases amounted to RMB65,214, RMB107,331 and RMB96,165, respectively.