week 3 paper
FASB Codification Assignment – Melanie Schmidt, ACCT 525, Professor: Hussain Kabani
a. ASC-830-230-55-1
This section is found under Broad Transactions, Foreign Currency Matters. This shows an example of how to report the net income of operating activities for foreign operations on the statement of cash flows. The reporting is based on the direct method for a manufacturing entity. It also shows what the consolidated statement will look like once the information has been entered.
b. ASC-926-330-35-1
This section is in regards to reporting inventory relating to entertainment, such as video tapes or digital video discs that are for sale. Entries are recorded on the balance sheet at their net realizable value. Changes to the carrying amount, fair value, depreciation or amortization would be included here.
c. ASC-954-440-25-2
This section is for recording revenue recognition for retirement communities. The future use of the retirement facilities and the services of that community need to be calculated on an annual basis. This determines if there will be an amount recognized under liabilities on the financial statements.
d. ASC-505-20-50-1
This section talks about the recording of stock dividends in the case of a stock split. In this situation companies need to make sure to avoid using the word dividends. In the case of corporate resolutions, notices, and announcements of dividends there are legal requirements which will not allow the stock split to be recorded here. A stock split is different than a dividend.
e. ASC-710-10-05-6
This section is for deferred compensation arrangements. It provides guidance for topics regarding deferred compensation in relation to employment contracts. Pensions and other retirement benefits are not included here.
a. ASC-830-230-55-1
This section is found under Broad Transactions, Foreign Currency Matters. This shows an example of how to report the net income of operating activities for foreign operations on the statement of cash flows. The reporting is based on the direct method for a manufacturing entity. It also shows what the consolidated statement will look like once the information has been entered.
b. ASC-926-330-35-1
This section is in regards to reporting inventory relating to entertainment, such as video tapes or digital video discs that are for sale. Entries are recorded on the balance sheet at their net realizable value. Changes to the carrying amount, fair value, depreciation or amortization would be included here.
c. ASC-954-440-25-2
This section is for recording revenue recognition for retirement communities. The future use of the retirement facilities and the services of that community need to be calculated on an annual basis. This determines if there will be an amount recognized under liabilities on the financial statements.
d. ASC-505-20-50-1
This section talks about the recording of stock dividends in the case of a stock split. In this situation companies need to make sure to avoid using the word dividends. In the case of corporate resolutions, notices, and announcements of dividends there are legal requirements which will not allow the stock split to be recorded here. A stock split is different than a dividend.
e. ASC-710-10-05-6
This section is for deferred compensation arrangements. It provides guidance for topics regarding deferred compensation in relation to employment contracts. Pensions and other retirement benefits are not included here.