ACCT 3301 Research Assignment 2 You will need to review your Guide to intermediate Accounting Research book as well as use the FASB Codification to answer the following questions 1. What does the term "guidance sandwiches" mean? In which section of an Accounting Issues Memorandum would you find "guidance sandwiches? 2. How should a researcher refer to guidance from the Codification the first time it is cited in a memo? (Show an example) 3. Savvy Sisters, a high-end furniture production company, has purchased a new plant and has asked you: Over what period should our new plant be depreciated? The plant's estimated useful life is 40 years Using a guidance sandwich respond to this question. (That is, introduce the issue, quote relevant guidance, then summarize how the guidance applies to the issue in your own words) Do not just answer from your general knowledge. This is an issue that must be researched and supported by the Codification. 4 Draw a picture illustrating the following fact pattern: Company A is exchanging its patent for a building in Michigan plus $750,000 cash from Company B Company B has taken out a loan for $750,000 from Sub Bank in anticipation of the exchange Sub Bank is a wholly owned subsidiary of Parent Bank. Be sure that you include each entity and that you show all transfers or relationships between the entities. (Use the Shapes from the insert function on the ribbon in Word Be sure that your diagram is professional) 5. Change the following sentences to active voice. The incorrect accounting applied by the company resulted in a restatement New guidance was issued by the PCAOB that will result in changes to the audit report DELL F12 F11 F9 F10 F8 F6 F7 """ "][" " "[[ Backspace + & * PIE I! ACCT 3301 Research Assignment 2 You will need to review your Guide to intermediate Accounting Research book as well as use the FASB Codification to answer the following questions 1. What does the term "guidance sandwiches" mean? In which section of an Accounting Issues Memorandum would you find "guidance sandwiches? 2. How should a researcher refer to guidance from the Codification the first time it is cited in a memo? (Show an example) 3. Savvy Sisters, a high-end furniture production company, has purchased a new plant and has asked you: Over what period should our new plant be depreciated? The plant's estimated useful life is 40 years Using a guidance sandwich respond to this question. (That is, introduce the issue, quote relevant guidance, then summarize how the guidance applies to the issue in your own words) Do not just answer from your general knowledge. This is an issue that must be researched and supported by the Codification. 4 Draw a picture illustrating the following fact pattern: Company A is exchanging its patent for a building in Michigan plus $750,000 cash from Company B Company B has taken out a loan for $750,000 from Sub Bank in anticipation of the exchange Sub Bank is a wholly owned subsidiary of Parent Bank. Be sure that you include each entity and that you show all transfers or relationships between the entities. (Use the Shapes from the insert function on the ribbon in Word Be sure that your diagram is professional) 5. Change the following sentences to active voice. The incorrect accounting applied by the company resulted in a restatement New guidance was issued by the PCAOB that will result in changes to the audit report DELL F12 F11 F9 F10 F8 F6 F7 """ "][" " "[[ Backspace + & * PIE