For this case you will be evaluating the financial statements of Acuity Brands Inc. for the fiscal

year ended August $31,2023.$ Acuity Brands is an industrial technology company. They specialize

in lighting and controls, building management and location aware applications. The company

headquarters are in Atlanta, Georgia. The company has significant receivables, inventory, and

operating assets.

The document st read like a report to an interested party, an investor, or a senior

auditor that is researching Acuity.

Questions to answer:

Identify and briefly describe the critical accounting choices and estimates that the

company makes.

a$.$ Short list, bullet points

b$.$ List any other estimates that the company is making that are not included on the

critical list.

c$.$ Briefly describe the most significant of these estimates with respect to the

impact on the financial statements. Support your choice with a brief analysis

supporting the impact of that estimate.

Take one estimate that you have identified $($critical or not$)$ and describe it in clear terms

with detailed numbers. What accounts does it affect? Where on the financial

statements can we see the impact of this estimate?

As part of your answer recreate the summary originating and adjusting journal entries

that would represent how this estimate is recorded. Show how your journal entries

interact with the accounts using $T-$accounts to completely describe the articulation of

the income statement and the balance sheet. Include descriptions of the entries with a

discussion of which financial statements are impacted.

Write a short narrative analyzing the impact of this estimate on the financial statements

and for decision$-$makers that rely on the statements.

As part of this analysis, you should consider external economic events, as well as the

internal company trends. You will want to consider industry benchmarks and the

company's history with this estimate. Compare the estimate to the company's net

income, gross profit, current assets, or any other key performance indicator measure

that you think is appropriate to gauge the possible impact that the estimate had on the

overall presentation and the interpretation of the decision makers relying on that

presentation.

Provide citation$($s$)$ from the FASB's Accounting Standards Codification $($ASC$)$ about this

estimate, how it is recognized, measured, and presented. Include in plain language

your understanding of the estimate and its presentation in the light of the language of

the standard.