The purpose of this course is to inform the reader of the various changes to accounting and financial reporting affecting the accounting professional. Topics include a review of proposed FASB projects including those related to financial performance, leases, and financial instruments, practice issues involving the statement of cash flows, fair value reporting, pensions, the international convergence project, little GAAP, and more. The structure of the course is to encourage the reader to recall existing GAAP rules coupled with identifying, stating and outlining rules related to new and proposed pronouncements.
The course seeks to update the participant's knowledge in the following objective areas:
- Identification of significant GAAP changes
- Identification of the 12 recommended principles for the Comprehensive Business Reporting Model
- Identification of the formula used to compute free cash flow
- Computation of the four key ratios used to analyze working capital
- Computation of days sales outstanding and ADD
- Understand the computation of core earnings
- Discussion of ways in which companies recognize revenue prematurely
- Discuss the changes occurring in restatements
- Discuss the issues surrounding restatements and other financial reporting abuses
- Understand the depth of company pension problems and how companies' pension plans are impacting their cash flow
- Compare the key differences between a rules-based and principles-based system
- List the changes made or pending by both the FASB and IASB in the International Standards Convergence Project
- Distinguish between historical cost accounting and fair value accounting;
- Recognize the changes proposed to lease accounting
- Identify FASB's codification
- Compare the arguments in favor of and against Big GAAP-Little GAAP and the Blue Ribbon Panel Report
- Discuss the FASB's plan to move going concern into GAAP
- Recognize the political pressures surrounding GAAP disclosures including those related to climate change
- Compute the valuation allowance required for a deferred tax asset
- Understand the impact that the Obama Patient Protection and Affordable Care Act has on deferred tax assets
- Discuss common criticisms that exist with use of the statement of cash flows
- Understand the various cash flow games that are played in presenting the statement of cash flows
- Recognize the changes made by Accounting Standards Updates (ASUs) issued in 2009 through 2011
- Understand the conclusions reached by recently issued Technical Practice Aids.
Upon ordering this course, you will immediately receive instructions how to download the course as an Online pdf document. Included in this email will be log-on instructions for taking the certification exam. You have one year from date of purchase to complete the course.
After you have completed reviewing the text material, you may take your exam in our convenient, untimed online format. Tests average 5 questions for each CPE credit offered. For example, a CPE test worth 20 credits would include about 100 questions.
A score of 70% or better is required to pass this course, although there is no limit to the number of times you may take the exam in order to pass.
When you successfully pass the exam, your Certificate of Completion will be displayed on the screen. Print it out on your printer by using the "Print" command in your web browser.
This course is accepted in 50 states for CPE credit.
Course Level: Overview
Field of Study: Accounting
About The Author
STEVEN C. FUSTOLO, CPA is a partner with the Boston CPA firm of James J. Fox &Company and Director of the National Tax Institute, Inc. He is a frequent lecturer and author of numerous tax and accounting issues affecting closely held businesses.
An AICPA author, Mr. Fustolo's articles are regularly featured in The Practical Accountant and other publications.