Book description
This highly regarded reference is relied on by a considerable part of the accounting profession in their day-to-day work. This handbook is the first place many accountants look to find answers to practice questions. Its comprehensive scope is widely recognized and relied on. It is designed as a single reference source that provides answers to all reasonable questions on accounting and financial reporting asked by accountants, auditors, bankers, lawyers, financial analysts, and other preparers and users of accounting information.
Table of contents
- Copyright
- ABOUT THE EDITORS
- ABOUT THE CONTRIBUTORS
- PREFACE
-
29. OIL, GAS, AND OTHER NATURAL RESOURCES
- 29.1. INTRODUCTION
- 29.2. OIL AND GAS EXPLORATION AND PRODUCING OPERATIONS
- 29.3. ACCOUNTING FOR JOINT OPERATIONS
-
29.4. ACCEPTABLE ACCOUNTING METHODS
- 29.4.1. (a) THE SUCCESSFUL EFFORTS METHOD.
- 29.4.2. (b) THE FULL COST METHOD.
- 29.5. ACCOUNTING FOR NATURAL GAS IMBALANCES
- 29.6. HARD-ROCK MINING
- 29.7. ACCOUNTING FOR MINING COSTS
- 29.8. ACCOUNTING FOR MINING REVENUES
- 29.9. SUPPLEMENTARY FINANCIAL STATEMENT INFORMATION—ORE RESERVES
- 29.10. ACCOUNTING FOR INCOME TAXES
- 29.11. FINANCIAL STATEMENT DISCLOSURES
- 29.12. SOURCES AND SUGGESTED REFERENCES
-
30. REAL ESTATE AND CONSTRUCTION
- 30.1. THE REAL ESTATE INDUSTRY
-
30.2. SALES OF REAL ESTATE
- 30.2.1. (a) ANALYSIS OF TRANSACTIONS.
- 30.2.2. (b) ACCOUNTING BACKGROUND.
- 30.2.3. (c) CRITERIA FOR RECORDING A SALE.
- 30.2.4. (d) ADEQUACY OF DOWN PAYMENT.
- 30.2.5. (e) RECEIVABLE FROM THE BUYER.
-
30.2.6. (f) SELLER'S CONTINUED INVOLVEMENT.
- 30.2.6.1. (i) Participation Solely in Future Profits.
- 30.2.6.2. (ii) Option or Obligation to Repurchase the Property.
- 30.2.6.3. (iii) General Partner in a Limited Partnership with a Significant Receivable.
- 30.2.6.4. (iv) Lack of Permanent Financing.
- 30.2.6.5. (v) Guaranteed Return of Buyer's Investment.
- 30.2.6.6. (vi) Other Guaranteed Returns on Investment—Other than Sale-Leaseback.
- 30.2.6.7. (vii) Guaranteed Return on Investment—Sale-Leaseback.
- 30.2.6.8. (viii) Services without Adequate Compensation.
- 30.2.6.9. (ix) Development and Construction.
- 30.2.6.10. (x) Initiation and Support of Operations.
- 30.2.6.11. (xi) Partial Sales.
- 30.2.7. (g) SALES OF CONDOMINIUMS.
- 30.2.8. (h) RETAIL LAND SALES.
- 30.2.9. (i) ACCOUNTING FOR SYNDICATION FEES.
- 30.2.10. (j) ALTERNATE METHODS OF ACCOUNTING FOR SALES.
-
30.3. COST OF REAL ESTATE
- 30.3.1. (a) CAPITALIZATION OF COSTS.
- 30.3.2. (b) PREACQUISITION COSTS.
- 30.3.3. (c) LAND ACQUISITION COSTS.
- 30.3.4. (d) LAND IMPROVEMENT, DEVELOPMENT, AND CONSTRUCTION COSTS.
- 30.3.5. (e) ENVIRONMENTAL ISSUES.
- 30.3.6. (f) INTEREST COSTS.
- 30.3.7. (g) TAXES AND INSURANCE.
- 30.3.8. (h) INDIRECT PROJECT COSTS.
- 30.3.9. (i) GENERAL AND ADMINISTRATIVE EXPENSES.
- 30.3.10. (j) AMENITIES.
- 30.3.11. (k) ABANDONMENTS AND CHANGES IN USE.
- 30.3.12. (l) SELLING COSTS.
- 30.3.13. (m) ACCOUNTING FOR FORECLOSED ASSETS.
- 30.3.14. (n) PROPERTY, PLANT, AND EQUIPMENT.
- 30.4. ALLOCATION OF COSTS
- 30.5. VALUATION ISSUES
- 30.6. CONSTRUCTION CONTRACTS
- 30.7. OPERATIONS OF INCOME-PRODUCING PROPERTIES
- 30.8. ACCOUNTING FOR INVESTMENTS IN REAL ESTATE VENTURES
- 30.9. FINANCIAL REPORTING
- 30.10. SOURCES AND SUGGESTED REFERENCES
-
31. FINANCIAL INSTITUTIONS
-
31.1. OVERVIEW
- 31.1.1. (a) CHANGING THE ENVIRONMENT.
- 31.1.2. (b) ROLE IN THE ECONOMY.
-
31.1.3. (c) TYPES OF FINANCIAL INSTITUTIONS.
- 31.1.3.1. (i) Banks and Savings Institutions.
- 31.1.3.2. (ii) Mortgage Banking Activities.
- 31.1.3.3. (iii) Investment Companies.
- 31.1.3.4. (iv) Credit Unions.
- 31.1.3.5. (v) Investment Banks.
- 31.1.3.6. (vi) Insurance Companies.
- 31.1.3.7. (vii) Finance Companies.
- 31.1.3.8. (viii) Securities Brokers and Dealers.
- 31.1.3.9. (ix) Real Estate Investment Trusts.
-
31.2. BANKS AND SAVINGS INSTITUTIONS
- 31.2.1. (a) PRIMARY RISKS OF BANKS AND SAVINGS INSTITUTIONS.
- 31.2.2. (b) REGULATION AND SUPERVISION OF BANKS AND SAVINGS INSTITUTIONS.
- 31.2.3. (c) REGULATORY BACKGROUND.
- 31.2.4. (c) REGULATORY ENVIRONMENT.
- 31.2.5. (d) FEDERAL DEPOSIT INSURANCE CORPORATION IMPROVEMENT ACT SECTION 112.
-
31.2.6. (e) CAPITAL ADEQUACY GUIDELINES.
- 31.2.6.1. (i) Risk-Based and Leverage Ratios.
- 31.2.6.2. (ii) Tier 1, Tier 2, and Tier 3 Components.
- 31.2.6.3. (iii) Risk-Weighted Assets.
- 31.2.6.4. (iv) Capital Calculations and Minimum Requirements.
- 31.2.6.5. (v) Interest Rate Risk and Capital Adequacy.
- 31.2.6.6. (vi) Capital Allocated for Market Risk.
- 31.2.7. (g) PROMPT CORRECTIVE ACTION.
- 31.2.8. (h) REGULATORY EXAMINATIONS.
- 31.2.9. (i) ENFORCEMENT ACTIONS.
- 31.2.10. (j) DISCLOSURE OF CAPITAL MATTERS.
- 31.2.11. (k) SECURITIES AND EXCHANGE COMMISSION.
- 31.2.12. (l) FINANCIAL STATEMENT PRESENTATION.
- 31.2.13. (m) ACCOUNTING GUIDANCE.
- 31.2.14. (n) GENERALLY ACCEPTED ACCOUNTING PRINCIPLES VERSUS REGULATORY ACCOUNTING PRINCIPLES.
-
31.2.15. (o) LOANS AND COMMITMENTS.
-
31.2.15.1. (i) Types of Loans.
- 31.2.15.1.1. Commercial Loans.
- 31.2.15.1.2. Secured Loans.
- 31.2.15.1.3. Lines of Credit.
- 31.2.15.1.4. Demand Loans.
- 31.2.15.1.5. Term Loans.
- 31.2.15.1.6. Asset-Based Lending.
- 31.2.15.1.7. Syndications.
- 31.2.15.1.8. Participations.
- 31.2.15.1.9. Loans Held for Resale.
- 31.2.15.1.10. Real Estate Loans.
- 31.2.15.1.11. Mortgage Loans.
- 31.2.15.1.12. Construction Loans.
- 31.2.15.1.13. Direct Lease Financing.
- 31.2.15.1.14. Consumer Loans.
- 31.2.15.1.15. Installment Loans.
- 31.2.15.1.16. Standby Letters of Credit.
- 31.2.15.1.17. Sovereign Risk.
- 31.2.15.1.18. Trade Finance
- 31.2.15.2. (ii) Accounting for Loans
-
31.2.15.1. (i) Types of Loans.
- 31.2.16. (p) CREDIT LOSSES.
- 31.2.17. (q) LOAN SALES AND MORTGAGE BANKING ACTIVITIES.
- 31.2.18. (r) REAL ESTATE INVESTMENTS, REAL ESTATE OWNED, AND OTHER FORECLOSED ASSETS.
- 31.2.19. (s) INVESTMENTS IN DEBT AND EQUITY SECURITIES.
- 31.2.20. (t) DEPOSITS.
- 31.2.21. (u) FEDERAL FUNDS AND REPURCHASE AGREEMENTS.
- 31.2.22. (v) DEBT.
-
31.2.23. (w) TAXATION.
- 31.2.23.1. (i) Loan Loss Reserves.
- 31.2.23.2. (ii) Mark-to-Market.
- 31.2.23.3. (iii) Tax-Exempt Securities.
- 31.2.23.4. (iv) Nonaccrual Loans.
- 31.2.23.5. (v) Hedging.
- 31.2.23.6. (vi) Loan Origination Fees and Costs.
- 31.2.23.7. (vii) Foreclosed Property
- 31.2.23.8. (viii) Leasing Activities.
- 31.2.23.9. (ix) FHLB Dividends.
- 31.2.23.10. (x) Bank-Owned Life Insurance.
- 31.2.23.11. (xi) Original Issue Discount.
- 31.2.23.12. (xii) Market Discount.
- 31.2.24. (x) FUTURES, FORWARDS, OPTIONS, SWAPS, AND SIMILAR FINANCIAL INSTRUMENTS.
- 31.2.25. (y) FIDUCIARY SERVICES AND OTHER FEE INCOME.
- 31.2.26. (z) ELECTRONIC BANKING AND TECHNOLOGY RISKS.
-
31.3. MORTGAGE BANKING ACTIVITIES
- 31.3.1. (a) OVERVIEW.
- 31.3.2. (b) ACCOUNTING GUIDANCE.
- 31.3.3. (c) MORTGAGE LOANS HELD FOR SALE.
- 31.3.4. (d) MORTGAGE LOANS HELD FOR INVESTMENT.
- 31.3.5. (e) SALES OF MORTGAGE LOANS AND SECURITIES.
-
31.3.6. (f) MORTGAGE SERVICING RIGHTS.
- 31.3.6.1. (i) Initial Capitalization of Mortgage Servicing Rights.
- 31.3.6.2. (ii) Amortization of Mortgage Servicing Rights.
- 31.3.6.3. (iii) Impairment of Mortgage Servicing Rights.
- 31.3.6.4. (iv) Fair Value of Mortgage Servicing Rights.
- 31.3.6.5. (v) Sales of Mortgage Servicing Rights.
- 31.3.6.6. (vi) Retained Interests.
- 31.3.7. (g) TAXATION.
- 31.4. INVESTMENT COMPANIES
- 31.5. SOURCES AND SUGGESTED REFERENCES
-
31.1. OVERVIEW
-
32. PRODUCERS OR DISTRIBUTORS OF FILMS
- 32.1. HISTORY OF GUIDANCE
-
32.2. REVENUE REPORTING
- 32.2.1. (a) BASIC REVENUE REPORTING PRINCIPLES.
-
32.2.2. (b) DETAILED REVENUE REPORTING PRINCIPLES.
- 32.2.2.1. (i) Persuasive Evidence of an Arrangement.
- 32.2.2.2. (ii) Delivery.
- 32.2.2.3. (iii) Availability.
- 32.2.2.4. (iv) Fixed or Determinable Fee.
- 32.2.2.5. (v) Barter Revenue.
- 32.2.2.6. (vi) Modifications of Arrangements.
- 32.2.2.7. (vii) Returns and Price Concessions.
- 32.2.2.8. (viii) Licensing of Film-Related Products.
- 32.2.2.9. (ix) Present Value.
-
32.3. COSTS AND EXPENSES
- 32.3.1. (a) FILM COSTS—CAPITALIZATION.
- 32.3.2. (b) FILM COSTS—AMORTIZATION AND PARTICIPATION COST ACCRUALS.
- 32.3.3. (c) ULTIMATE REVENUE.
- 32.3.4. (d) ULTIMATE PARTICIPATION COSTS.
- 32.3.5. (e) FILM COSTS VALUATION.
- 32.3.6. (f) SUBSEQUENT EVENTS.
- 32.3.7. (g) EXPLOITATION COSTS.
- 32.3.8. (h) MANUFACTURING COSTS.
- 32.4. PRESENTATION AND DISCLOSURE
-
33. REGULATED UTILITIES
- 33.1. THE NATURE AND CHARACTERISTICS OF REGULATED UTILITIES
- 33.2. HISTORY OF REGULATION
- 33.3. REGULATORY COMMISSION JURISDICTIONS
- 33.4. THE TRADITIONAL RATE-MAKING PROCESS
- 33.5. INTERRELATIONSHIP OF REGULATORY REPORTING AND FINANCIAL REPORTING
- 33.6. STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 71: "ACCOUNTING FOR THE EFFECTS OF CERTAIN TYPES OF REGULATION"
- 33.7. STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 90: "REGULATED ENTERPRISES—ACCOUNTING FOR ABANDONMENTS AND DISALLOWANCE OF PLANT COSTS"
- 33.8. STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 92: "REGULATED ENTERPRISES—ACCOUNTING FOR PHASE-IN PLANS"
-
33.9. STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 101: "REGULATED ENTERPRISES—ACCOUNTING FOR THE DISCONTINUATION OF APPLICATION OF FINANCIAL ACCOUNTING STANDARDS BOARD STATEMENT NO. 71"
- 33.9.1. (a) FACTORS LEADING TO DISCONTINUING APPLICATION OF STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 71.
- 33.9.2. (b) REGULATORY ASSETS AND LIABILITIES.
- 33.9.3. (c) FIXED ASSETS AND INVENTORY.
- 33.9.4. (d) INCOME TAXES.
- 33.9.5. (e) INVESTMENT TAX CREDITS.
- 33.9.6. (f) INCOME STATEMENT PRESENTATION.
- 33.9.7. (g) REAPPLICATION OF STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 71.
- 33.10. ISSUE NO. 97-4
-
33.11. OTHER SPECIALIZED UTILITY ACCOUNTING PRACTICES
-
33.11.1. (a) UTILITY INCOME TAXES AND INCOME TAX CREDITS.
- 33.11.1.1. (i) Interperiod Income Tax Allocation.
- 33.11.1.2. (ii) Flow-Through.
- 33.11.1.3. (iii) Provisions of the Internal Revenue Code.
- 33.11.1.4. (iv) The Concept of Tax Incentives.
- 33.11.1.5. (v) Tax Legislation.
- 33.11.1.6. (vi) "Accounting for Income Taxes"—Statement of Financial Accounting Standards No. 109.
- 33.11.1.7. (vii) Investment Tax Credit.
- 33.11.2. (b) REVENUE RECOGNITION—ALTERNATIVE PROGRAMS.
- 33.11.3. (c) ACCOUNTING FOR POSTRETIREMENT BENEFITS OTHER THAN PENSIONS.
-
33.11.4. (d) OTHER FINANCIAL STATEMENT DISCLOSURES
- 33.11.4.1. (i) Purchase Power Contracts.
- 33.11.4.2. (ii) Financing Through Construction Intermediaries.
- 33.11.4.3. (iii) Jointly Owned Plants.
- 33.11.4.4. (iv) Decommissioning Costs and Nuclear Fuel.
- 33.11.4.5. (v) Securitization of Stranded Costs, Including Regulatory Assets.
- 33.11.4.6. (vi) Statement of Financial Accounting Standards Nos. 71 and 101—Expanded Footnote Disclosure.
-
33.11.1. (a) UTILITY INCOME TAXES AND INCOME TAX CREDITS.
- 33.12. SOURCES AND SUGGESTED REFERENCES
-
34. STATE AND LOCAL GOVERNMENT ACCOUNTING
- 34.1. INTRODUCTION
- 34.2. THE NATURE AND ORGANIZATION OF STATE AND LOCAL GOVERNMENT ACTIVITIES
- 34.3. SOURCE OF ACCOUNTING PRINCIPLES FOR STATE AND LOCAL GOVERNMENT ACCOUNTING
-
34.4. GOVERNMENTAL ACCOUNTING PRINCIPLES AND PRACTICES
- 34.4.1. (a) SIMILARITIES TO PRIVATE SECTOR ACCOUNTING.
- 34.4.2. (b) USERS AND USES OF FINANCIAL REPORTS.
-
34.4.3. (c) SUMMARY STATEMENT OF PRINCIPLES.
- 34.4.3.1. (i) Government-Wide Financial Statements.
- 34.4.3.2. (ii) Fund Accounting Systems.
- 34.4.3.3. (iii) Types of Funds.
- 34.4.3.4. (iv) Number of Funds.
- 34.4.3.5. (v) Accounting for Capital Assets and Long-Term Liabilities.
- 34.4.3.6. (vi) Valuation of Capital Assets.
- 34.4.3.7. (vii) Depreciation of Capital Assets.
- 34.4.3.8. (viii) Accrual Basis in Governmental Accounting.
- 34.4.3.9. (ix) Budgeting, Budgetary Control, and Budgetary Reporting.
- 34.4.3.10. (x) Transfer, Revenue, Expenditure, and Expense Account Classification.
- 34.4.3.11. (xi) Common Terminology and Classification.
- 34.4.3.12. (xii) Interim and Annual Financial Reports.
- 34.4.4. (d) DISCUSSION OF THE PRINCIPLES.
- 34.4.5. (e) LEGAL COMPLIANCE.
- 34.4.6. (f) FUND ACCOUNTING.
-
34.4.7. (g) TYPES AND NUMBER OF FUNDS.
- 34.4.7.1. (i) GENERAL FUND.
- 34.4.7.2. (ii) Special Revenue Funds.
- 34.4.7.3. (iii) Debt Service Funds.
- 34.4.7.4. (iv) Capital Projects Funds.
- 34.4.7.5. (v) Permanent Funds.
- 34.4.7.6. (vi) Proprietary Funds.
- 34.4.7.7. (vii) Internal Service Funds.
- 34.4.7.8. (viii) Fiduciary Funds.
- 34.4.7.9. (ix) Special Assessment Activities.
- 34.4.7.10. (x) Focus on Major Funds.
- 34.4.8. (h) REPORTING CAPITAL ASSETS.
- 34.4.9. (i) LONG-TERM LIABILITIES.
- 34.4.10. (j) MEASUREMENT FOCUS AND BASIS OF ACCOUNTING.
- 34.4.11. (k) BUDGETARY ACCOUNTING.
- 34.4.12. (l) CLASSIFICATION AND TERMINOLOGY.
- 34.4.13. (m) EXTERNAL FINANCIAL REPORTING.
- 34.4.14. (n) REPORTING INTERFUND ACTIVITY.
- 34.4.15. (o) REQUIRED RECONCILIATION TO GOVERNMENT-WIDE STATEMENTS.
- 34.4.16. (p) REPORTING GENERAL CAPITAL ASSETS.
- 34.5. MANAGEMENT DISCUSSION AND ANALYSIS
-
34.6. GOVERNMENT-WIDE FINANCIAL STATEMENTS
- 34.6.1. (a) FOCUS OF THE GOVERNMENT-WIDE FINANCIAL STATEMENTS.
- 34.6.2. (b) STATEMENT OF NET ASSETS.
- 34.6.3. (c) STATEMENT OF ACTIVITIES.
- 34.6.4. (d) ELIMINATIONS AND RECLASSIFICATIONS.
- 34.6.5. (e) REPORTING INTERNAL SERVICE FUND BALANCES.
- 34.6.6. (f) STATEMENT OF NET ASSETS FORMAT.
- 34.6.7. (g) STATEMENT OF ACTIVITIES FORMAT.
- 34.7. DISCLOSURE REQUIREMENTS
- 34.8. REPORTING COMPONENT UNITS
- 34.9. REQUIRED SUPPLEMENTARY INFORMATION OTHER THAN MANAGEMENT'S DISCUSSION AND ANALYSIS
- 34.10. BASIC FINANCIAL STATEMENTS REQUIRED FOR SPECIAL-PURPOSE GOVERNMENTS
- 34.11. IMPLEMENTING THE REQUIREMENTS OF GOVERNMENTAL ACCOUNTING STANDARDS BOARD STATEMENT NO. 34
- 34.12. GRANT ACCOUNTING
- 34.13. ACCOUNTING PRINCIPLES AND PRACTICES—PUBLIC COLLEGES AND UNIVERSITIES
- 34.14. AUDITS OF GOVERNMENTAL UNITS
- 34.15. CONCLUDING REMARKS
- 34.16. SOURCES AND SUGGESTED REFERENCES
- 34.17. APPENDIX 34.1: PRONOUNCEMENTS ON STATE AND LOCAL GOVERNMENT ACCOUNTING
-
35. NOT-FOR-PROFIT ORGANIZATIONS
- 35.1. THE NOT-FOR-PROFIT ACCOUNTING ENVIRONMENT
-
35.2. NOT-FOR-PROFIT ACCOUNTING PRINCIPLES AND REPORTING PRACTICES
- 35.2.1. (a) PRINCIPAL ACCOUNTING AND REPORTING REQUIREMENTS.
- 35.2.2. (b) BASIS OF ACCOUNTING: CASH OR ACCRUAL.
- 35.2.3. (c) FUND ACCOUNTING.
- 35.2.4. (d) RECLASSIFICATIONS.
- 35.2.5. (e) APPROPRIATIONS.
- 35.2.6. (f) FIXED ASSETS.
- 35.2.7. (g) DEPRECIATION.
- 35.2.8. (h) INVESTMENT INCOME.
- 35.2.9. (i) GAINS AND LOSSES ON INVESTMENTS.
- 35.2.10. (j) CONTRIBUTIONS.
- 35.2.11. (k) RELATED ORGANIZATIONS.
- 35.2.12. (I) CASH FLOWS.
- 35.2.13. (m) GOVERNMENTAL VERSUS NONGOVERNMENTAL ACCOUNTING.
-
35.3. SPECIFIC TYPES OF ORGANIZATIONS
- 35.3.1. (a) VOLUNTARY HEALTH AND WELFARE ORGANIZATIONS.
- 35.3.2. (b) COLLEGES AND UNIVERSITIES.
- 35.3.3. (c) OTHER NOT-FOR-PROFIT ORGANIZATIONS
- 35.4. AUDIT CONSIDERATIONS FOR A NOT-FOR-PROFIT ORGANIZATION
- 35.5. SOURCES AND SUGGESTED REFERENCES
- 35.6. APPENDIX 35.1: FACTORS TO BE CONSIDERED IN DISTINGUISHING CONTRACTS FOR THE PURCHASE OF GOODS OR SERVICES FROM RESTRICTED GRANTS
- 35.7. APPENDIX 35.2: FACTORS TO BE CONSIDERED IN ASSESSING WHETHER CONTRIBUTED SERVICES ARE CONSIDERED TO REQUIRE SPECIALIZED SKILLS (PER PARAGRAPH 9 OF STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 116, "ACCOUNTING FOR CONTRIBUTIONS RECEIVED")
- 35.8. APPENDIX 35.3: CHECKLIST—FACTORS TO BE CONSIDERED IN DETERMINING WHETHER AN ORGANIZATION WOULD TYPICALLY NEED TO PURCHASE SERVICES IF NOT PROVIDED BY DONATION
- 35.9. APPENDIX 35.4: FACTORS TO BE CONSIDERED IN ASSESSING WHETHER A DONOR HAS MADE A BONA FIDE PLEDGE TO A DONEE
- 35.10. APPENDIX 35.5: CHECKLIST—FACTORS TO BE CONSIDERED IN DECIDING WHETHER A GIFT OR PLEDGE SUBJECT TO DONOR STIPULATIONS IS CONDITIONAL OR RESTRICTED (AS DISCUSSED IN STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 116, PARS. 7, 22–23, 57–71, 75–81)
- 35.11. APPENDIX 35.6: CONSIDERATION OF WHETHER ITEMS MAY BE REPORTED AS OPERATING OR NONOPERATING (WITHIN THE CONTEXT OF PAR. 23 OF STATEMENT OF FINANCIAL ACCOUNTING STANDARDS NO. 117)
-
36. PROVIDERS OF HEALTH CARE SERVICES
- 36.1. THE HEALTH CARE INDUSTRY
-
36.2. AUTHORITATIVE PRONOUNCEMENTS
- 36.2.1. (a) GENERALLY ACCEPTED ACCOUNTING PRINCIPLES—PRIVATE SECTOR.
- 36.2.2. (b) GENERALLY ACCEPTED ACCOUNTING PRINCIPLES—PUBLIC SECTOR.
- 36.2.3. (c) SECURITIES AND EXCHANGE COMMISSION REQUIREMENTS.
- 36.2.4. (d) HEALTHCARE FINANCIAL MANAGEMENT ASSOCIATION PRINCIPLES AND PRACTICES BOARD.
- 36.2.5. (e) AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS AUDIT GUIDE.
- 36.2.6. (f) DEFINITION OF "PUBLIC COMPANY" IN THE APPLICATION OF FINANCIAL ACCOUNTING STANDARDS BOARD STANDARDS, HEALTH CARE ORGANIZATIONS, AND AUDITS OF NOT-FOR-PROFIT ORGANIZATIONS.
-
36.3. ACCOUNTING PRINCIPLES
- 36.3.1. (a) CLASSIFICATION AND REPORTING OF NET ASSETS.
- 36.3.2. (b) ASSETS WHOSE USE IS LIMITED.
- 36.3.3. (c) AGENCY TRANSACTIONS.
- 36.3.4. (d) REVENUE OF HEALTH CARE FACILITIES.
- 36.3.5. (e) REVENUE OF MANAGED CARE COMPANIES.
- 36.3.6. (f) SETTLEMENTS WITH THIRD-PARTY PAYERS.
- 36.3.7. (g) BAD DEBTS.
- 36.3.8. (h) CHARITY CARE.
- 36.3.9. (i) REPORTING REVENUES, EXPENSES, GAINS, AND LOSSES.
- 36.3.10. (j) CONCENTRATION OF CREDIT RISK.
- 36.3.11. (k) CONTRIBUTIONS.
- 36.3.12. (I) INVESTMENTS.
- 36.3.13. (m) DERIVATIVES.
- 36.3.14. (n) PROPERTY AND EQUIPMENT.
- 36.3.15. (o) INTANGIBLE ASSETS.
- 36.3.16. (p)LEASES.
- 36.3.17. (q) TAX-EXEMPT DEBT.
- 36.3.18. (r) DISCLOSURE OF RISKS, UNCERTAINTIES, AND CONTINGENCIES.
- 36.3.19. (s) PENSIONS AND OTHER POSTEMPLOYMENT BENEFITS.
-
36.3.20. (t) REPORTING ENTITY CONSIDERATIONS.
- 36.3.20.1. (i) Not-for-Profit Consolidation/Reporting Entity Requirements.
- 36.3.20.2. (ii) Governmental Consolidation/Reporting Entity Requirements.
- 36.3.20.3. (iii) Not-for-Profit Foundations Associated with Governmental Entities.
- 36.3.20.4. (iv) Obligated Group Financial Statements.
- 36.3.20.5. (v) Joint Operating Agreements
- 36.3.21. (u) BUSINESS COMBINATIONS.
- 36.3.22. (v) TIMING DIFFERENCES.
-
36.4. SPECIAL ACCOUNTING PROBLEMS OF SPECIFIC TYPES OF PROVIDERS
-
36.4.1. (a) CONTINUING CARE RETIREMENT COMMUNITIES.
- 36.4.1.1. (i) Refundable Advance Fees.
- 36.4.1.2. (ii) Nonrefundable Advance Fees.
- 36.4.1.3. (iii) Fees Refundable to Residents from Reoccupancy Proceeds of a Contract Holder's Unit.
- 36.4.1.4. (iv) Amortization of Nonrefundable Advance Fees.
- 36.4.1.5. (v) Obligation to Provide Future Services.
- 36.4.1.6. (vi) Costs of Acquiring Initial Continuing Care Contracts.
- 36.4.2. (b) PREPAID HEALTH CARE PLANS.
-
36.4.3. (c) PHYSICIAN PRACTICE MANAGEMENT COMPANIES.
- 36.4.3.1. (i) Establishment of Controlling Financial Interest.
- 36.4.3.2. (ii) Business Combination Issues.
- 36.4.3.3. (iii) Consolidation and Employee Status.
- 36.4.3.4. (iv) Financial Reporting Considerations.
-
36.4.3.5. (v) SEC Reporting Issues.
- 36.4.3.5.1. Inclusion of Separate Financial Statements of Affiliated Medical Practices in IPO Filings.
- 36.4.3.5.2. Disclosure Issues.
- 36.4.3.5.3. What is the nature of the PPM's business?
- 36.4.3.5.4. What is the PPM's relationship with managed care providers?
- 36.4.3.5.5. Is the PPM subject to any state or federal regulations?
-
36.4.1. (a) CONTINUING CARE RETIREMENT COMMUNITIES.
- 36.5. FINANCIAL REPORTING PRACTICES
- 36.6. STATUTORY/REGULATORY REPORTING ISSUES
- 36.7. SOURCES AND SUGGESTED REFERENCES
-
37. ACCOUNTING FOR GOVERNMENT CONTRACTS
- 37.1. UNIQUE ACCOUNTING REQUIREMENTS FOR FEDERAL CONTRACTORS
- 37.2. MANAGEMENT INFORMATION SYSTEM REQUIREMENTS
-
37.3. SPECIFIC ACCOUNTING REQUIREMENTS
- 37.3.1. (a) EFFECTS ON CONTRACTORS.
- 37.3.2. (b) COST PRINCIPLES.
-
37.3.3. (C) COST ACCOUNTING STANDARDS.
- 37.3.3.1. (i) Contract Coverage.
- 37.3.3.2. (ii) Price Adjustments.
- 37.3.3.3. (iii) Disclosure Statements.
-
37.3.3.4. (iv) The Standards.
- 37.3.3.4.1. Consistency in Estimating, Accumulating, and Reporting Costs (9904.401 and 9905.501).
- 37.3.3.4.2. Consistency in Allocating Costs Incurred for the Same Purpose (9904.402 and 9905.502).
- 37.3.3.4.3. Allocation of Home Office Expenses to Segments (9904.403).
- 37.3.3.4.4. Allocation of Business Unit General and Administrative Expenses to Final Cost Objectives (9904.410).
- 37.3.3.4.5. Allocation of Direct and Indirect Cost (9904.418).
- 37.3.3.4.6. Accounting for Independent Research and Development Costs and Bid and Proposal Costs (9904.420).
- 37.3.3.4.7. Capitalization of Tangible Assets (9904.404).
- 37.3.3.4.8. Depreciation of Tangible Capital Assets (9904.409).
- 37.3.3.4.9. Cost of Money as an Element of the Cost of Facilities Capital (9904.414).
- 37.3.3.4.10. Cost of Money as an Element of the Cost of Capital Assets Under Construction (9904.417).
- 37.3.3.4.11. Accounting for Costs of Compensated Personal Absence (9904.408).
- 37.3.3.4.12. Composition and Measurement of Pension Cost (9904. 412).
- 37.3.3.4.13. Adjustment and Allocation of Pension Cost (9904.413).
- 37.3.3.4.14. Accounting for the Cost of Deferred Compensation (9904.415).
- 37.3.3.4.15. Accounting for Unallowable Costs (9904.405 and 9905.505).
- 37.3.3.4.16. Cost Accounting Period (9904.406 and 9905.506).
- 37.3.3.4.17. Use of Standard Costs for Direct Material and Direct Labor (9904.407).
- 37.3.3.4.18. Accounting for Acquisition Costs of Material (9904.411).
- 37.3.3.4.19. Accounting for Insurance Costs (9904.416).
- 37.3.4. (d) CONTRACT CHANGES AND TERMINATIONS.
-
38. PENSION PLANS AND OTHER POSTRETIREMENT AND POSTEMPLOYMENT BENEFITS
- 38.1. BACKGROUND, ENVIRONMENT, AND OVERVIEW
-
38.2. SPONSOR ACCOUNTING
- 38.2.1. (a) SCOPE OF STATEMENT OF FINANCIAL ACCOUNTING CONCEPTS NO. 87.
- 38.2.2. (b) APPLICABILITY OF STATEMENT OF FINANCIAL ACCOUNTING CONCEPTS NO. 87.
- 38.2.3. (c) BASIC ELEMENTS OF PENSION ACCOUNTING.
-
38.2.4. (d) NET PERIODIC PENSION COST.
- 38.2.4.1. (i) Service Cost Component.
- 38.2.4.2. (ii) Interest Cost Component.
- 38.2.4.3. (iii) Expected Return on Plan Assets Component.
- 38.2.4.4. Amortization of Unrecognized Net Gains and Losses Component
- 38.2.4.5. (v) Amortization of Unrecognized Prior Service Cost Component.
- 38.2.4.6. (vi) Amortization of Unrecognized Net Obligation or Net Asset Component.
- 38.2.5. (e) PLAN ASSETS.
- 38.2.6. (f) RECOGNITION OF LIABILITIES AND ASSETS.
- 38.2.7. (g) INTERIM MEASUREMENTS.
- 38.2.8. (h) FINANCIAL STATEMENT DISCLOSURES.
- 38.2.9. (i) DEFINED CONTRIBUTION PENSION PLANS.
- 38.2.10. (j) Non-U.S. Pension Plans.
- 38.2.11. (k) MULTIEMPLOYER PLANS.
- 38.2.12. (I) MULTIPLE EMPLOYER PLANS.
- 38.2.13. (m) FUNDING AND INCOME TAX ACCOUNTING.
-
38.3. SPONSOR ACCOUNTING FOR NONRECURRING EVENTS
- 38.3.1. (a) OVERVIEW.
- 38.3.2. (b) SETTLEMENT.
- 38.3.3. (c) CURTAILMENT.
- 38.3.4. (d) DISPOSAL OF A BUSINESS.
- 38.3.5. (e) PLAN MERGER, SPINOFF, AND TERMINATION.
- 38.3.6. (f) TERMINATION BENEFITS.
- 38.3.7. (g) BUSINESS COMBINATIONS.
- 38.3.8. (h) SEQUENCE OF MEASUREMENT STEPS.
- 38.3.9. (i) DISCLOSURE REQUIREMENTS FOR NONRECURRING EVENTS.
- 38.3.10. (j) ILLUSTRATION—NONRECURRING EVENTS.
- 38.4. SPONSOR ACCOUNTING FOR NONQUALIFIED PLANS
-
38.5. PLAN ACCOUNTING
- 38.5.1. (a) BACKGROUND.
- 38.5.2. (b) OBJECTIVE AND CONTENT OF FINANCIAL STATEMENTS.
- 38.5.3. (c) NET ASSETS AVAILABLE FOR BENEFITS.
- 38.5.4. (d) CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS.
- 38.5.5. (e) ACTUARIAL PRESENT VALUE OF ACCUMULATED PLAN BENEFITS.
- 38.5.6. (f) CHANGES IN THE ACTUARIAL PRESENT VALUE OF ACCUMULATED PLAN BENEFITS.
- 38.5.7. (g) ILLUSTRATIVE PLAN FINANCIAL STATEMENTS.
- 38.5.8. (h) ADDITIONAL FINANCIAL STATEMENT DISCLOSURES.
- 38.5.9. (i) DECISION TO PREPARE PLAN FINANCIAL STATEMENTS.
- 38.5.10. (j) DEFINED CONTRIBUTION PLANS.
- 38.5.11. (k) POSTRETIREMENT MEDICAL BENEFIT FEATURES OF DEFINED BENEFIT PENSION PLANS.
- 38.6. ACCOUNTING FOR POSTRETIREMENT BENEFITS OTHER THAN PENSIONS
- 38.7. EMPLOYERS' ACCOUNTING FOR POSTEMPLOYMENT BENEFITS
- 38.8. SOURCES AND SUGGESTED REFERENCES
-
39. STOCK-BASED COMPENSATION
- 39.1. HISTORY OF ACCOUNTING FOR STOCK-BASED COMPENSATION
- 39.2. SCOPE OF ACCOUNTING PRINCIPLES BOARD OPINION NO. 25
-
39.3. APPLICATION OF APB OPINION NO. 25
- 39.3.1. (a) NONCOMPENSATORY AND COMPENSATORY PLANS.
- 39.3.2. (b) MEASUREMENT OF COMPENSATION: GENERAL PRINCIPLE.
-
39.3.3. (c) APPLICATION OF THE MEASUREMENT PRINCIPLE.
- 39.3.3.1. (i) Measurement of Compensation Cost Based on Cost of Treasury Stock.
- 39.3.3.2. (ii) Vesting Contingent on Continued Employment.
- 39.3.3.3. (iii) Designation of Measurement Date.
- 39.3.3.4. (iv) Impact of Renewals, Extensions, and Other Modifications of Stock Options and Purchase Rights.
- 39.3.3.5. (v) Transfer of Stock or Assets to a Trustee, Agent, or Other Third Party.
- 39.3.3.6. (vi) Awards of Convertible Stock or Rights.
-
39.3.3.7. (vii) Settlement of Awards.
- 39.3.3.7.1. Emerging Issues Task Force Issue No. 84–13, "Purchase of Stock Options and Stock Appreciation Rights in a Leveraged Buyout."
- 39.3.3.7.2. Emerging Issues Task Force Issue No. 85–45, "Business Combinations: Settlement of Stock Options and Awards."
- 39.3.3.7.3. Emerging Issues Task Force Issue No. 87–6, "Adjustments Relating to Stock Compensation Plans."
- 39.3.3.7.4. Emerging Issues Task Force Issue No. 87–23, "Book Value Stock Purchase Plans."
- 39.3.3.7.5. Emerging Issues Task Force Issue No. 87–33, "Stock Compensation Issues Related to Market Decline."
- 39.3.3.7.6. Emerging Issues Task Force Issue No. 88–6, "Book Value Stock Plans in an Initial Public Offering."
- 39.3.3.7.7. Emerging Issues Task Force Issue No. 94–6, "Accounting for the Buyout of Compensatory Stock Options."
- 39.3.3.8. (viii) Combination Plans and Awards.
- 39.3.3.9. (ix) Stock Option Pyramiding.
- 39.3.3.10. (x) Stock Option Gain Deferrals.
- 39.3.3.11. (xi) Use of Stock Option Shares to Cover Required Tax Withholding.
- 39.3.4. (d) ALLOCATION OF COMPENSATION COST: DETERMINING THE SERVICE PERIOD.
- 39.3.5. (e) CANCELED OR FORFEITED RIGHTS.
- 39.3.6. (f) ACCOUNTING FOR INCOME TAXES UNDER APB OPINION NO. 25.
- 39.3.7. (g) OTHER APB OPINION NO. 25 ISSUES.
-
39.4. EARNINGS PER SHARE UNDER APB OPINION NO. 25
- 39.4.1. (a) BASIC EARNINGS PER SHARE.
- 39.4.2. (b) DILUTED EARNINGS PER SHARE.
- 39.4.3. (c) DILUTED EARNINGS PER SHARE COMPUTATIONS FOR FIXED AWARDS.
- 39.4.4. (d) DILUTED EARNINGS PER SHARE COMPUTATIONS FOR VARIABLE AWARDS SUBJECT ONLY TO TIME-BASED VESTING.
- 39.4.5. (e) DILUTED EARNINGS PER SHARE COMPUTATIONS FOR VARIABLE AWARDS SUBJECT TO PERFORMANCE-BASED VESTING.
- 39.5. ILLUSTRATIONS OF ACCOUNTING UNDER APB OPINION NO. 25
-
39.6. APPLICATION OF FINANCIAL ACCOUNTING STANDARDS BOARD STATEMENT NO. 123
- 39.6.1. (a) SCOPE OF FINANCIAL ACCOUNTING STANDARDS BOARD STATEMENT NO. 123.
- 39.6.2. (b) MEASUREMENT OF AWARDS.
- 39.6.3. (c) MEASUREMENT DATE.
- 39.6.4. (d) OPTION PRICING MODELS.
- 39.6.5. (e) RECOGNITION OF COMPENSATION COST.
- 39.6.6. (f) ADJUSTMENTS OF INITIAL ESTIMATES.
- 39.6.7. (g) MODIFICATIONS TO GRANTS.
- 39.6.8. (h) OPTIONS WITH RELOAD FEATURES.
- 39.6.9. (i) SETTLEMENT OF AWARDS.
- 39.6.10. (j) TANDEM PLANS AND COMBINATION PLANS.
- 39.6.11. (k) EMPLOYEE STOCK PURCHASE PLANS.
- 39.6.12. (l) LOOK-BACK OPTIONS.
- 39.6.13. (m) AWARDS REQUIRING SETTLEMENT IN CASH.
- 39.6.14. (n) TRANSACTIONS WITH NONEMPLOYEES.
- 39.6.15. (o) ACCOUNTING FOR INCOME TAXES UNDER FINANCIAL ACCOUNTING STANDARDS BOARD STATEMENT NO. 123.
- 39.6.16. (p) EFFECTIVE DATE AND TRANSITION.
- 39.7. EARNINGS PER SHARE UNDER FINANCIAL ACCOUNTING STANDARDS BOARD STATEMENT NO. 123
- 39.8. FINANCIAL STATEMENT DISCLOSURES
- 39.9. SOURCES AND SUGGESTED REFERENCES
-
40. PROSPECTIVE FINANCIAL STATEMENTS
- 40.1. TYPES OF PROSPECTIVE FINANCIAL STATEMENTS
- 40.2. LIMITATIONS ON THE USE OF PROSPECTIVE FINANCIAL STATEMENTS
- 40.3. DEVELOPING PROSPECTIVE FINANCIAL STATEMENTS
- 40.4. PRESENTATION AND DISCLOSURE OF PROSPECTIVE FINANCIAL STATEMENTS
- 40.5. TYPES OF ACCOUNTANTS' SERVICES
- 40.6. COMPILATION SERVICES
- 40.7. EXAMINATION SERVICES
- 40.8. AGREED-UPON PROCEDURES
- 40.9. INTERNAL USE SERVICES
- 40.10. SOURCES AND SUGGESTED REFERENCES
-
41. PERSONAL FINANCIAL STATEMENTS
- 41.1. WHAT ARE THEY? AND WHY DO WE NEED THEM?
- 41.2. PRACTICAL TIPS
-
41.3. RULES AND GUIDANCE IN PRESENTING ASSET VALUES
- 41.3.1. (a) START BY USING THE ESTIMATED CURRENT VALUE.
- 41.3.2. (b) WHAT IS OWED BY OTHERS?
- 41.3.3. (c) THE STOCK MARKET AND OTHER MARKETS.
- 41.3.4. (d) LIMITED PARTNERSHIP INTERESTS ARE LIMITED.
- 41.3.5. (e) GOLD, SILVER, AND OTHER PRECIOUS METALS.
- 41.3.6. (f) OPTIONS ON ASSETS OTHER THAN MARKETABLE SECURITIES.
- 41.3.7. (g) LIFE INSURANCE.
- 41.3.8. (h) A REAL CHALLENGE IS VALUING A CLOSELY HELD BUSINESS.
- 41.3.9. (i) REALTY.
- 41.3.10. (j) PERSONAL PROPERTY.
- 41.3.11. (k) INTANGIBLE ASSETS.
- 41.3.12. (l) FUTURE INTERESTS.
- 41.4. RULES AND GUIDANCE IN PRESENTING LIABILITIES
- 41.5. PROVISION FOR INCOME TAXES
- 41.6. STATEMENT OF CHANGES IN NET WORTH
- 41.7. DISCLOSURES
- 41.8. COMPILATION
- 41.9. REVIEW
- 41.10. AUDITS
-
41.11. REPORTS
- 41.11.1. (a) STANDARD COMPILATION REPORT.
- 41.11.2. (b) REPORTING WHEN SUBSTANTIALLY ALL DISCLOSURES ARE OMITTED.
- 41.11.3. (c) REPORTING WHEN THE ACCOUNTANT IS NOT INDEPENDENT.
- 41.11.4. (d) REPORTING ON PRESCRIBED FORMS.
- 41.11.5. (e) REPORTING WHEN THERE IS A DEPARTURE FROM GENERALLY ACCEPTED ACCOUNTING PRINCIPLES.
- 41.11.6. (f) STANDARD REVIEW REPORT.
- 41.11.7. (g) STANDARD AUDIT REPORT.
- 41.12. COMPILED STATEMENTS ONLY FOR CLIENT INTERNAL USE
- 41.13. SOURCES AND SUGGESTED REFERENCES
-
42. PARTNERSHIPS AND JOINT VENTURES
- 42.1. NATURE AND ORGANIZATION OF PARTNERSHIP ENTITY
- 42.2. ACCOUNTING FOR PARTNERSHIP OPERATIONS
-
42.3. ACCOUNTING FOR CHANGES IN FIRM MEMBERSHIP
- 42.3.1. (a) EFFECT OF CHANGE IN PARTNERS.
- 42.3.2. (b) NEW PARTNER PURCHASING AN INTEREST.
- 42.3.3. (c) NEW PARTNER'S INVESTMENT TO ACQUIRE AN INTEREST.
- 42.3.4. (d) SETTLING WITH WITHDRAWING PARTNER THROUGH OUTSIDE FUNDS.
- 42.3.5. (e) SETTLEMENT THROUGH FIRM FUNDS.
- 42.3.6. (f) ADJUSTMENT OF CAPITAL RATIOS.
- 42.4. INCORPORATION OF A PARTNERSHIP
- 42.5. PARTNERSHIP REALIZATION AND LIQUIDATION
- 42.6. LIMITED PARTNERSHIPS
- 42.7. NONPUBLIC INVESTMENT PARTNERSHIPS
- 42.8. JOINT VENTURES
- 42.9. SOURCES AND SUGGESTED REFERENCES
-
43. ESTATES AND TRUSTS
-
43.1. ESTATES—LEGAL BACKGROUND
- 43.1.1. (a) EXECUTING A WILL.
- 43.1.2. (b) WILL PROVISIONS.
- 43.1.3. (c) RULES UNDER INTESTACY.
- 43.1.4. (d) DOMICILE.
- 43.1.5. (a) PROBATE PROCEDURES: WILL.
- 43.1.6. (f) PROBATE PROCEDURES: FAILURE OF EXECUTOR.
- 43.1.7. (g) PROBATE PROCEDURES: INTESTACY.
- 43.1.8. (g) SETTLEMENT OF SMALL ESTATES.
-
43.1.9. (i) FIDUCIARY RESPONSIBILITIES.
- 43.1.9.1. (i) Executor versus Administrator.
- 43.1.9.2. (i) General Duties of Representatives.
- 43.1.9.3. (iii) Preliminary Administration.
- 43.1.9.4. (iv) Specific Duties of Representatives.
- 43.1.9.5. (v) Possession of Assets.
- 43.1.9.6. (vi) Probate versus Nonprobate Assets.
- 43.1.9.7. (vii) Personal Property Exemptions.
- 43.1.9.8. (viii) Real Property.
- 43.1.9.9. (ix) Inventory of Assets.
- 43.1.9.10. (x) Valuation of Assets.
- 43.1.9.11. (xi) Management of Estate Funds.
- 43.1.9.12. (xii) Payments of Debts.
- 43.1.9.13. (xiii) Advertising for Creditors.
- 43.1.9.14. (xiv) Order of Debt Payment.
- 43.1.9.15. (xv) Source of Funds for Debt Payment.
- 43.1.9.16. (xvi) Administration Expenses.
- 43.1.9.17. (xvii) Distribution of Estate Assets.
- 43.1.9.18. (xviii) Payment of Legacies.
- 43.1.9.19. (xix) Abatement of Legacies.
- 43.1.9.20. (xx) Deductions from Legacies.
- 43.1.9.21. (xxi) Lapsed Legacies.
- 43.1.9.22. (xxii) Advancement and Hotchpot.
- 43.1.9.23. (xxiii) Surviving Spouse's Right of Election against the Will.
- 43.1.9.24. (xxiv) Disclaimers.
- 43.1.9.25. (xxv) Decree of Distribution and Postdecree Procedure.
- 43.1.9.26. (xxvi) Funding of Trusts.
- 43.1.10. (j) POWERS OF ESTATE REPRESENTATIVE.
- 43.1.11. (k) COMMISSIONS OF REPRESENTATIVES.
- 43.1.12. (l) TAXATION OF ESTATES.
- 43.2. ACCOUNTING FOR ESTATES
-
43.3. TRUSTS AND TRUSTEES—LEGAL BACKGROUND
- 43.3.1. (a) NATURE AND TYPES OF TRUSTS.
- 43.3.2. (b) APPOINTMENT AND REMOVAL OF TRUSTEES.
- 43.3.3. (c) POWERS AND DUTIES OF TRUSTEES.
- 43.3.4. (d) PROPER TRUST INVESTMENTS.
- 43.3.5. (e) TRUSTEE'S PERSONAL LIABILITIES AND LIABILITY FOR ACTS OF CO-TRUSTEE.
- 43.3.6. (f) GUARDIANS.
- 43.3.7. (g) TESTAMENTARY TRUSTEE.
- 43.3.8. (h) COMPENSATION OF TRUSTEES.
- 43.3.9. (i) RIGHTS OF BENEFICIARY.
- 43.3.10. (j) DISTINCTION BETWEEN PRINCIPAL AND INCOME.
- 43.3.11. (k) PRINCIPAL AND INCOME—SPECIAL PROBLEMS.
- 43.3.12. (f) TAX STATUS OF TRUST.
- 43.3.13. (m) TERMINATION OF TRUST.
- 43.4. ACCOUNTING FOR TRUSTS
- 43.5. SOURCES AND SUGGESTED REFERENCES
-
43.1. ESTATES—LEGAL BACKGROUND
-
44. VALUATION OF NONPUBLIC COMPANIES
- 44.1. DEFINITION OF VALUE
-
44.2. GENERAL PROCEDURE FOR VALUATION
- 44.2.1. (a) COMPILE BACKGROUND INFORMATION ABOUT THE COMPANY.
- 44.2.2. (b) COMPILE FINANCIAL INFORMATION REGARDING THE COMPANY.
- 44.2.3. (c) SELECT GUIDELINE COMPANIES.
- 44.2.4. (d) ESTIMATE DIVIDEND-PAYING CAPACITY.
- 44.2.5. (e) JUDGMENTAL MODIFICATION OF THE VALUATION RATIOS.
- 44.2.6. (f) APPLICATION OF THE MARKET VALUE RATIOS.
- 44.2.7. (g) DISCOUNTED FUTURE BENEFITS APPROACHES.
- 44.2.8. (h) USE OF FORMULAS.
- 44.2.9. (i) NET ASSET VALUE APPROACH.
-
44.3. SPECIAL SITUATIONS
- 44.3.1. (a) WHOLESALE AND RETAIL COMPANIES.
- 44.3.2. (b) VALUATION OF SERVICE COMPANIES.
- 44.3.3. (c) COMPANIES WITH LOW EARNINGS.
- 44.3.4. (d) HOLDING COMPANIES.
- 44.3.5. (e) REAL ESTATE COMPANIES.
- 44.3.6. (f) COMPANIES WITH NONOPERATING ASSETS.
- 44.3.7. (g) LIFE INSURANCE PROCEEDS.
- 44.3.8. (h) COMPANIES WITH AN EXTREMELY STRONG FINANCIAL POSITION.
- 44.3.9. (i) PREFERRED STOCK.
- 44.3.10. (j) EMPLOYEE STOCK OWNERSHIP PLANS.
- 44.3.11. (k) VALUATIONS FOR MARITAL DISSOLUTIONS.
- 44.3.12. (l) RESTRICTIVE AGREEMENTS.
- 44.3.13. (m) S CORPORATIONS.
- 44.3.14. (n) START-UP COMPANIES.
- 44.3.15. (o) NONVOTING STOCK.
- 44.3.16. (p) VALUATION OF A CONTROLLING INTEREST.
- 44.3.17. (q) FIFTY PERCENT INTEREST.
- 44.4. COURT DECISIONS ON VALUATION ISSUES
- 44.5. SAMPLE CONDENSED VALUATION ANALYSIS
- 44.6. SOURCES AND SUGGESTED REFERENCES
-
45. BANKRUPTCY
- 45.1. OVERVIEW
- 45.2. ALTERNATIVES AVAILABLE TO TROUBLED COMPANIES
-
45.3. GENERAL PROVISIONS OF BANKRUPTCY CODE
- 45.3.1. (a) FILING OF PETITION.
- 45.3.2. (b) TIMING OF PETITION—TAX CONSIDERATIONS.
- 45.3.3. (c) ACCOUNTING SERVICES—DATA REQUIRED IN THE PETITION.
- 45.3.4. (d) ADEQUATE PROTECTION AND AUTOMATIC STAY.
- 45.3.5. (e) EXECUTORY CONTRACTS AND LEASES.
- 45.3.6. (f) AVOIDING POWER.
- 45.3.7. (g) PREFERENCES.
- 45.3.8. (b) FRAUDULENT TRANSFERS.
- 45.3.9. (i) POSTPETITION TRANSFERS.
- 45.3.10. (j) SETOFFS.
- 45.3.11. (k) RECLAMATION.
- 45.3.12. (l) U.S. TRUSTEE.
- 45.4. HANDLING OF CLAIMS UNDER CHAPTER 11
- 45.5. OPERATING UNDER CHAPTER 11
-
45.6. CHAPTER 11 PLAN
- 45.6.1. (a) CLASSIFICATION OF CLAIMS.
- 45.6.2. (b) DEVELOPMENT OF PLAN.
- 45.6.3. (c) DISCLOSURE STATEMENT.
- 45.6.4. (d) CONFIRMATION OF PLAN.
- 45.6.5. (e) CONFIRMATION REQUIREMENTS.
- 45.6.6. (f) ACCOUNTING SERVICES—ASSISTANCE TO DEBTOR.
- 45.6.7. (g) ACCOUNTING SERVICES—ASSISTANCE TO CREDITORS' COMMITTEE.
- 45.6.8. (h) ACCOUNTING FOR THE REORGANIZATION.
- 45.6.9. (i) ACCOUNTING FOR THE IMPAIRMENT OF LONG-LIVED ASSETS UNDER CHAPTER 11.
- 45.7. REPORTING REQUIREMENTS IN BANKRUPTCY CASES
- 45.8. SOURCES AND SUGGESTED REFERENCES
-
46. FORENSIC ACCOUNTING AND LITIGATION CONSULTING SERVICES
- 46.1. INTRODUCTION
- 46.2. THE LEGAL CONTEXT
- 46.3. THE ACCOUNTANT'S ROLE IN THE LITIGATION PROCESS
-
46.4. TYPES OF SERVICES
- 46.4.1. (a) GENERAL ROLE OF ACCOUNTANT.
-
46.4.2. (b) EXAMPLES OF LITIGATION AND INVESTIGATORY SERVICES.
- 46.4.2.1. (i) Breach of Contract.
- 46.4.2.2. (ii) Business Interruption.
- 46.4.2.3. (iii) Intellectual Property.
- 46.4.2.4. (iv) Antitrust.
- 46.4.2.5. (v) White-Collar Crime and Fraud.
- 46.4.2.6. (vi) Securities Act Violations.
- 46.4.2.7. (vii) Bankruptcy and Bankruptcy Frauds.
- 46.4.2.8. (viii) Lender Liability.
- 46.4.2.9. (iv) Employment Litigation.
- 46.4.2.10. (v) Accountant's Liability.
- 46.4.2.11. (xi) Contractual Purchases Litigation.
- 46.4.2.12. (xii) Breach of Fiduciary Duty.
- 46.4.2.13. (xiii) Marital Dissolution.
- 46.4.2.14. (ii) Partnership Dissolution.
- 46.4.2.15. (iii) Personal Injury.
- 46.5. CALCULATING DAMAGES
- 46.6. SUPPORT FOR OPINIONS
- 46.7. TESTIMONY
-
46.8. PROFESSIONAL STANDARDS RELEVANT TO LITIGATION CONSULTING
-
46.8.1. (a) AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS CODE OF PROFESSIONAL CONDUCT.
- 46.8.1.1. (i) Rule 101: Independence.
- 46.8.1.2. (ii) Rule 102: Integrity and Objectivity.
- 46.8.1.3. (iii) Conflicts of Interest.
- 46.8.1.4. (iv) Rule 201: General Standards.
- 46.8.1.5. (v) Rule 202: Compliance with Standards.
- 46.8.1.6. (vi) Rule 203: Accounting Principles.
- 46.8.1.7. (vii) Rule 301: Confidential Client Information.
- 46.8.2. (b) STATEMENT ON STANDARDS FOR CONSULTING SERVICES.
- 46.8.3. (c) AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS CONSULTING SERVICES PRACTICE AIDS.
-
46.8.1. (a) AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS CODE OF PROFESSIONAL CONDUCT.
- 46.9. FEDERAL RULES OF EVIDENCE
- 46.10. SOURCES AND SUGGESTED REFERENCES
-
47. FINANCIAL EXPERT WITNESS CHALLENGES AND EXCLUSIONS: RESULTS AND TRENDS IN FEDERAL AND STATE CASES SINCE KUMHO TIRE
- 47.1. INTRODUCTION
- 47.2. METHODOLOGY AND OVERVIEW OF OBSERVATIONS AND CONCLUSIONS
- 47.3. EXPERT WITNESS CHALLENGES AND EXCLUSIONS: 2000–2002
- 47.4. REASONS FINANCIAL EXPERTS WERE EXCLUDED: RELEVANCE, RELIABILITY, AND QUALIFICATIONS
- 47.5. EXCLUSION OF PLAINTIFF FINANCIAL EXPERTS
- 47.6. TYPES OF FINANCIAL EXPERTS EXCLUDED
- 47.7. JUNE 30, 2003 UPDATE: THE MOST RECENT OBSERVATIONS
- 47.8. SUMMARY AND CONCLUSIONS
- 47.9. FINAL COMMENTS RELEVANT TO THE CERTIFIED PUBLIC ACCOUNTANT DESIGNATION
-
48. INTRODUCTION TO E-DISCOVERY
- 48.1. COMPUTERS? NOW THAT CHANGES EVERYTHING!
- 48.2. SHIFT TO DIGITAL DATA STORAGE AND COMMUNICATION
- 48.3. INCREASING DATA VOLUMES
- 48.4. INCREASED VALUE OF DIGITAL DATA
- 48.5. GOING AFTER EVIDENCE
- 48.6. THE LEGAL SETTING
- 48.7. TODAY'S USE OF ELECTRONIC DISCOVERY TECHNIQUES
- 48.8. MORE/BETTER SUBSTANTIVE INFORMATION (METADATA)
- 48.9. AUDIT TRAILS (TRAFFIC DATA)
- 48.10. FASTER/BETTER/CHEAPER
- 48.11. THE ROLE OF COMPUTER FORENSICS
- 48.12. EVIDENCE PRESERVATION
- 48.13. PHYSICAL IMAGING VERSUS LOGICAL BACKUPS
- 48.14. FORENSIC RECORD KEEPING
- 48.15. ACQUISITION NOTES
- 48.16. CHAIN OF CUSTODY DOCUMENTATION
- 48.17. ANALYSIS WORK PAPERS
- 48.18. GET THE "WHOLE ENCHILADA"
- 48.19. EVIDENCE DISCOVERY
- 48.20. DATA SEARCHING
- 48.21. DELETED/SLACK/UNALLOCATED SPACE
- 48.22. CONCLUSION
-
49. DETECTING FRAUD
- 49.1. INTRODUCTION
- 49.2. TYPES OF FRAUD
- 49.3. FIGHTING FRAUD—AN OVERVIEW
- 49.4. FRAUD DETECTION—THE EARLIEST APPROACHES
- 49.5. FRAUD DETECTION—THE RED FLAG APPROACH
- 49.6. MANAGEMENT AND THE BOARD OF DIRECTORS
- 49.7. RELATIONSHIPS WITH OTHERS
- 49.8. ORGANIZATION AND INDUSTRY
- 49.9. FINANCIAL RESULTS AND OPERATING CHARACTERISTICS
- 49.10. STRATEGIC FRAUD DETECTION
- 49.11. CONCLUSION
Product information
- Title: Accountants' Handbook Volume Two: Special Industries and Special Topics, Eleventh Edition
- Author(s):
- Release date: April 2007
- Publisher(s): Wiley
- ISBN: 9780471790396
You might also like
book
Accountants' Handbook, Volume Two, Special Industries and Special Topics, 12th Edition
This highly regarded reference is relied on by a considerable part of the accounting profession in …
book
Problem Solving Survival Guide for Intermediate Accounting, 15th Edition, Instructor's Manual: Volume II: Chapters 15-24
No other text is used in more accounting programs, and by more professionals in the field, …
book
The Law of Tax-Exempt Organizations, 12th Edition
Tax-exempt law explained, for lawyers and nonlawyers alike The Law of Tax-Exempt Organizations has, for decades, …
article
Twenty Years of Open Innovation
Organizations that practice open innovation draw on external resources to develop new ideas for products and …