Review of Significant Accounting Topics
CPAs with financial reporting responsibility for nonpublic entities face many challenges when applying GAAP. Some areas, such as revenue recognition, accounting for leases, and accounting for financial instruments have undergone significant changes. Other areas that include derivatives and hedging; assessing assets for impairment; and variable interest entities are often complex in nature with guidelines that are not necessarily clear as to when they are to be applied and what exceptions might be available.
This course addresses a variety of standards. For those with recent significant changes, the discussion will focus on the impact of the changes to accounting, financial reporting, and disclosures under the new requirements and how they differ from current reporting. For areas that have not undergone recent significant changes, the focus will be on when they are to be applied; how they might be appropriately avoided; and the various alternatives that may be available.
Specific topics will include:
- Coverage of accounting for leases, primarily for the lessee, will focus on how the analysis to determine lease classification has changed, comparative journal entries under the old and new standards, and an overview of the new presentation and disclosure requirements.
- Coverage of the revenue recognition standard will address those entities that are expected to experience a significant change in the amount of revenue recognized in a specific period, such as some providing warranties, those involved in contracts that entail multiple deliverables, and those entering long-term contracts. Changes to disclosures will also be addressed comparing typical footnotes under the old standard to what they will look like under the new.
- Coverage of financial instruments will focus on the changes to accounting for investments in equity securities of other entities and will address the transition to the new standard and the accounting and disclosure required subsequent to the change.
- Coverage of variable interest entities will focus on determining when they apply and alternatives to consider when consolidation is not desirable.
- Derivatives and hedging will be covered from an overview perspective to assist accountants in identifying derivatives and understanding the accounting alternatives available.
For live presentations, attendees will be encouraged to suggest topics that will be added to the agenda based on their importance to the attendees and the time available for coverage.
- Revenue recognition
- Accounting for leases
- Financial instruments
- Variable interest entities
- Derivatives and hedging
- FRF for SMEs
- Review recent changes to significant areas of accounting and how to apply them
- Recognize areas of accounting that are particularly challenging to nonpublic entities, providing practical approaches for application.
- Identify GAAP alternatives for accounting for certain areas where they are available to nonpublic entities.
- Recognize non-GAAP alternatives that may be appropriate for nonpublic entities.
CPAs with responsibility for financial reporting under generally accepted accounting principles including those working in industry with direct responsibility for the financial statements as well as auditors, reviewers, compilers, and preparers of financial statements working in public accounting.
Applicable if you are a HSCPA member in good standing.
Applicable if you are not a HSCPA member.