The second fundamental change in standards due to ASU 2009-13 is the approach to the allocation of revenue to the various elements of a multiple-element arrangement. These elements to which revenue amounts are assigned by GAAP are referred to as separate units of accounting. To justify the allocation of revenues to a separate unit of accounting, GAAP previously required three criteria to be met. In addition to having demonstrated objective and reliable evidence of the fair value, each separately
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fact that the objective of the new International Financial Accounting Standard has been to move towards international convergence; significant differences between standards still exist. The article presents the main changes of the regulation in the last years and the key differences between the two accounting treatments. In spite of the new accounting approach there are still lots of discussions, which indicate that the field is still not properly
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Scott, Financial Accounting Theory, 6th Edition Instructor’s Manual Chapter 2 Suggested Solutions to Questions and Problems 1. P.V. Ltd. Income Statement for Year 2 Accretion of discount (10% × 286.36) $28.64 P.V. Ltd. Balance Sheet As at Time 2 Financial Asset Cash $315.00 Shareholders’ Equity Opening balance Net income Capital Asset Present value 0.00 $315.00 $315.00 $286.36 28.64 Note that cash includes interest at 10% on opening cash balance of $150. 2. Suppose that P.V. Ltd
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P 327023 Accounting IUP Using Costs in Decision Making Cost information and the important role it plays in strategy development and in monitoring the results of implementing the strategy. The use of cost information is pervasive throughout decision – making situations. Pricing Cost information is used to deciding price by organizations in two ways : * In markets where the organization faces a market – determined price; * In markets where the organization can set its price. Product Planning
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effect of audit firm size on audit prices The study is to mainly address questions about how accounting firm size affects the audit prices and and the issue on how auditor changes affect companies’ audit fees. Three factors, which are market competition, the extent to which audit services are differentiated, and scale economies, can affect the relationship between audit prices and accounting firm size. There is one view that if audits are homogeneous goods, accounting firm size would not affect either
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Ethical and Professional Standards The candidate should be able to demonstrate a thorough knowledge of the CFA Institute Code of Ethics and Standards of Professional Conduct, familiarity with the Global Investment Performance Standards, and familiarity with corporate governance issues and risks affecting companies. Study Session 1 Ethical and Professional Standards Reading Assignments 1.* “Code of Ethics and Standards of Professional Conduct” Standards of Practice Handbook, 9th edition
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13, 16, 18, 20 5, 6, 7 9, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22 1, 4, 5, 6, 7 5, 6, 7, 8, 11 6. Inventory accounting changes. 18 7 6, 7, 10 7. Dollar-value LIFO methods. 22, 23, 24, 25, 26 1, 8, 9, 10, 11 8, 9 Copyright © 2013 John Wiley & Sons, Inc. 14, 15, 17, 18, 19 8, 9 Kieso, Intermediate Accounting, 15/e, Solutions Manual 4 (For Instructor Use Only) 8-1 ASSIGNMENT CLASSIFICATION TABLE (BY LEARNING OBJECTIVE) Learning
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Management Accounting and Control Spring 2007 For information about citing these materials or our Terms of Use, visit: ________________ http://ocw.mit.edu/terms. 15.963 Managerial Accounting and Control Spring 2007 Prof. Mozaffar Khan MIT Sloan School of Management Wilkerson Why is Wilkerson examining its costs now (what is the catalyst)? Its competitive environment: Declining overall profitability, price pressures on one product line, but apparent price inelasticity
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Unit 5 Research Project Terra O’Brien Destin Brass Products Company is concerned with its level of competition and their product costing system. Peggy has discussed some of the issues facing the company with Roland and John. The following are overhead activities and the cost drivers associated with them: Overhead Activities | Cost Driver | Machine depreciation | Increases with the amount of machine usage | Setup labor | Increase with the amount of setup hours. | Receiving | Increases
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prospect and provide recommendations on holding or selling Brambles' share finally. The accounting analysis assesses the influence that may be exerted by Brambles accounting policies through analyzing three aspects of key accounting policies, accounting flexibility and the quality of disclosure. The financial analysis illustrates that the financial profitability of Brambles is relatively favorable due to the high-level of ROE and ROA in the past five years. In addition, the highest financial leverage
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