For example, Nokia provides different language versions (English, Germany, French and Germany etc.) for its financial reporting to meet foreign investors need. * They would like to be sure that statement from different countries are reliable and comparable. Such as Bank of China and HSBC prepare its financial statement accordance with IFRS, which increase its reliability and comparability. * To reduce
As an auditor, understanding and testing internal control over financial requires knowledge of standards applicable to the corporation established by GAAP or IFRS. Section 404 of the Sarbanes-Oxley Act requires mandatory reporting on internal controls by management and independent auditors. To obtain a system of internal control as mandated by Section 404 of the Sarbanes-Oxley, policies and procedures designed to provide reasonable assurance of the companies’ effort in achieving its objectives and goals. Committee of Sponsoring Organizations of the Treadway
NIST 800-37 Rev. 1 1.3 Information System Registration Identify offices that the information system should be registered with. These can be organizational or management offices. Not done This phase begins once information systems have been identified in the organizations inventory and is assigned a section, person, or location to take direct responsibility over. (this is to be accomplished per organization standard operating procedures.)
The Chairman of the FASB is Leslie F. Seidman. b. What is the main purpose of FASB? The mission of the FASB is to establish and improve standards of financial accounting and reporting that foster financial reporting by nongovernmental entities that provides decision useful information to investors and other users of financial reports. c. When was FASB created and why was it created?
Merliss wants to be sure that all reporting for this transaction is proper and transparent. The company asks you to research disclosure requirements related to its capital structure. A) Identify the authoritative literature that addresses disclosure of information about capital structure. Statement of Financial Accounting Standards (SFAS) No. 129 This statement sets standards for disclosing information about an entity’s capital structure.
Merliss wants to be sure that all reporting for this transaction is proper and transparent. The company asks you to research disclosure requirements related to its capital structure. A .Identify the authoritative literature that addresses disclosure of information about capital structure. Statement of Financial Accounting Standards (SFAS) No. 129 This statement sets standards for disclosing information about an entity’s capital structure.
. . Total losses allowed from all passive activities for 2011. Add lines 10, 14, and 15. See instructions to find out how to report the losses on your tax return .
Unit 3 assignment: DISCUSSION QUESTIONS 4. What is the FASB conceptual frame work project? Explain the benefit of this project to the practitioner. The FASB conceptual frame work project is a joint venture between the International Accounting Standards Board (IASB) and the US Financial Accounting Standards Board (FASB) to develop a common conceptual framework that both Boards can use in developing new and revised accounting standards (fasb.org). The objective of this joint project of the Boards is to develop a common conceptual framework that is both complete and internally consistent.
On the allocation of goodwill, Financial Accounting Standards Board does this based on the reporting unit level while Independent Accounting standard body uses cash generating unit (Williams, 2003). Independent Accounting Standards Body addresses recovery of impairment losses but according to Financial Accounting Standards Board, impairment loss of goodwill in a previous period cannot be reversed. The two bodies test for goodwill impairment annually. Convergence of the two bodies will lead to creation of new improved standards for the two bodies. Based on the determination of the goodwill, there should be a test for impairment.
The Independence Standards Board (ISB) was created in 1997 by joint agreement of the AIPCA and the SEC. Its mission was “to establish independence standards applicable to audits of public entities in order to serve the public interest and to protect and promote investors’ confidence in the securities markets. The ISB planned to achieve its mission through the issuance of independence standards addressing auditor independence and the development of a conceptual framework for independence. The ISB issued independence standards on discussions with audit committees, mutual fund audits, and employment with audit committees. Several standards developed by the ISB were implemented by the SEC in its Auditor Independence Rules enacted in November 2000.