Financial Reporting and Disclosures Flashcards
All ??? accounting policies should be disclosed in the Notes to Financial Statements.
Material Accounting Policies, not Immatierial
Is the format of the Significant Accounting Policies fixed by GAAP?
No it is not fixed, though it is ordered logically
IFRS note requirements that are not required by GAAP
1) Statement of Compliance
2) Disclosure of Judgements Made
Information about changes in SE should be disclosed where?
In the footnotes.
If management has plans to effectively alleviate the going concern, how should the financial statements be prepared?
Under going concern basis with disclosures explaining the original conditions that raised doubt in the first place.
SEC Filers should recognize subsequent events through the date that F/S are ???
Issued (Distributed)
Non-SEC Filers should recognize subsequent events through the date that F/S are ???
Available to be Issued (Not necessarily Distributed)
Fair Value: What is considered a Lv 3 Imput?
Imputs that are unobservable (judgement)
Fair Value: If no principle market is designated, which market should be used? How should it be calculated?
The most advantageous market. It is the market with the highest/best value (Price less Transaction Cost, Transaction cost not included in FV)
Fair Value: Market Approach
Prices of an Identical/Comparable Asset
Fair Value: Income Approach
PVDCFs
Fair Value: Cost Approach
Replacement Cost
What is Fair Value?
The price that would be paid to acquire the asset or the amount received to transfer the liability.
Are consolidation adjustments taken into account when segment reporting?
No
What two aspects of revenue are included in the revenue test for segment reporting?
Sales to Unaffiliated Customers and Intersegment Sales
