The first step is determining whether an investment is impaired. Basically, an investment is impaired if the fair value of the investment is less than its cost . According to ASC 320, the entities should assess whether an investment is impaired every reporting period . The second step is evaluating whether the impairment is other than temporary. The impairment is
Words: 634 - Pages: 3
accounted for in accordance with FAS Statement No. 141R which was codified under the “Business Combinations topic of the FASB ASC. Describe how the purchase price was allocated to assets acquired and liabilities assumed based on the estimated fair value at the date of acquisition. The allocation of purchase price included identifiable intangible assets and goodwill which was valued at the date of acquisition by an independent valuation firm, [Insert Valuation Firm Name Here] using generally accepted
Words: 1598 - Pages: 7
structures exist, which can be used by the client company and the customer in making a lease agreement; these are as below – Sales Type Lease Under sales type lease, the lessee assumes all of the benefits and risks of ownership. The fair value and carrying value of the lease is different. According to Schroeder, Clark, & Cathey (2005), if a lease meets any of the four criteria set, plus both of the following criteria, then the lease should be a capital lease. “1. Collectibility of the minimum
Words: 865 - Pages: 4
PM#1 F 1-01 1. CPA-00001 FARE Nov 95 #1, Released 2006 Page 6 According to the FASB conceptual framework, the objectives of financial reporting for business enterprises are based on: a. Generally accepted accounting principles. b. Reporting on management's stewardship. c. The need for conservatism. d. The needs of the users of the information. CPA-00001 Explanation Choice "d" is correct.
Words: 34349 - Pages: 138
Accounting for Enron 1. As a partner to the firm, David Duncan had the responsibility to maintain a clean name for his auditing firm. He was supposed to apply his knowledge and wisdom to market his firm but failed to do so. As an auditor to Enron, he ought to have given a true and fair value of the company’s accounting records. He was also supposed give his expert views on the various financial huddle facing the company. Furthermore, he had a duty to report the company’s true and fair value to
Words: 414 - Pages: 2
2011 NZOG Annual Report 2009 2 Contents 2 3 5 6 7 8 9 10 12 13 48 49 53 57 Chairman’s Review CEO’s Review Reserves and Production Directors Declaration Consolidated Income Statement Consolidated Statement of Comprehensive Income Consolidated Statement of Financial Position Consolidated Statement of Changes in Equity Consolidated Statement of Cashflow Notes to the Financial Statements Audit Report Corporate Governance Statement Shareholder Information Corporate Directory NZOG Annual
Words: 29017 - Pages: 117
International Financial Reporting Standards (IFRS) MBA 691: Managerial Accounting Professor: Prepared by: April 19, 2009 Bibliography: • Ernst & Young, “U.S. GAAP vs. IFRS: The basics”, January 2009. • Securities & Exchange Commission, “Roadmap for the Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards by U.S. Issuers”, www.sec.gov/spotlight/ifrsroadmap.htm (Release No. 33-8982;
Words: 2112 - Pages: 9
Question 1 Date | Account Name | Dr | Cr | 1-Apr-12 | No entry required until shares are allotted | | | | | | | 30-Apr-12 | Cash Trust | 1,700,000 | | | Application | | 1,700,000 | | | | | 5-May-12 | Application | 1,700,000 | | | Share Capital | | 1,500,000 | | Allotment | | 200,000 | | Cash at Bank | 1,700,000 | | | Cash Trust | | 1,700,000 | | | | | 8-May-12 | Cash at Bank | 550,000 | | | Allotment |
Words: 2767 - Pages: 12
Accounting Standards Board Juanika Hogue ACC 541 – Accounting Theory and Research September 8, 2014 Valerie Turnbow The FASB begin with the abolishment of the APB (Accounting Principles Board) after the recommendation of the Wheat committee in 1972. The IASB is a private board created in 1973 to create accounting standards to be observed worldwide. Beginning with the Norwalk agreement in 2002 the FASB and the IASB committed both entities to making mutually compatible standards both foreign
Words: 591 - Pages: 3
Response to Client Request I Sharad Prabhakar ACC 541/Accounting theory and research January 17, 2011 Heber Howard Memo To: Mr. Supervisor From: Sharad Prabhakar Date: January 17th, 2011 Re: ABC Trucking Co. assignment results Message: These are the results of the assignment given to me by you last week regarding ABC Trucking company potential new client. I have done the required research on the Financial Accounting Standards Board (FASB) website regarding lease structures
Words: 784 - Pages: 4
