Please answer the following questions based on your readings, lecture materials, and research of the FASB Accounting Standards Codification. Responses should be in your own words. You are allowed to quote language from other sources, but please do not plagiarize. Any information used from other sources must be cited. There is no requirement to utilize any specific citation format, so long as the author is given credit. 1) In your own words, describe the FASB's Conceptual Framework. (No need to discuss each item, just describe generally what the Conceptual Framework is for and why it is needed.) 10 pts 2) Discuss how a new GAAP pronouncement comes to be. What process does the FASB take in creating new GAAP? (It may be helpful to review information in Chapter 1 of your text) 10 pts 3) In your own words, describe how the codification is organized, and why you think it is organized this way. Discuss both the organization of the code, and the organization of each pronouncement (the numbering system). 10 pts/ 4) Locate the FASB Concept Statement that discusses the elements of the financial statements. a) Provide the three essential characteristics of assets (provide paragraph citations) 5 pts b) Discuss the difference between realization and recognition on financial statements. 5 pts 5) Locate the FASB Codification Standard that addresses Comprehensive Income and answer the following questions (use paragraph citations) 25 pts a) What is the code section number that addresses comprehensive income? b) Provide the definition of comprehensive income. c) What items are generally included in comprehensive income and give examples. d) What are reclassification adjustments? e) Provide the definition of accumulated other comprehensive income. 6) Locate the FASB Codification Standard that addresses revenue recognition when a right of return exists and answer the following questions (use paragraph citations). 20 pts a) What is the code section number that addresses revenue recognition when a right of return exists? b) What step(s) in the revenue recognition model does the right of return impact? c) Does the FASB literature provide an example of the accounting for a right of return? If so, summarize the example. d) What are the general guidelines for constraining estimates of the transaction price (variable consideration) 7) Locate the FASB Codification Standard that addresses accounting for losses from uncollectible receivables and answer the following questions (use paragraph citations) 15 pts a) What is the code section number that addresses accounting for losses from uncollectible receivables? b) When should an accrual for losses from uncollectible receivables be made? c) What happens if a company cannot make an estimate of potentially uncollectible receivables? Please answer the following questions based on your readings, lecture materials, and research of the FASB Accounting Standards Codification. Responses should be in your own words. You are allowed to quote language from other sources, but please do not plagiarize. Any information used from other sources must be cited. There is no requirement to utilize any specific citation format, so long as the author is given credit. 1) In your own words, describe the FASB's Conceptual Framework. (No need to discuss each item, just describe generally what the Conceptual Framework is for and why it is needed.) 10 pts 2) Discuss how a new GAAP pronouncement comes to be. What process does the FASB take in creating new GAAP? (It may be helpful to review information in Chapter 1 of your text) 10 pts 3) In your own words, describe how the codification is organized, and why you think it is organized this way. Discuss both the organization of the code, and the organization of each pronouncement (the numbering system). 10 pts/ 4) Locate the FASB Concept Statement that discusses the elements of the financial statements. a) Provide the three essential characteristics of assets (provide paragraph citations) 5 pts b) Discuss the difference between realization and recognition on financial statements. 5 pts 5) Locate the FASB Codification Standard that addresses Comprehensive Income and answer the following questions (use paragraph citations) 25 pts a) What is the code section number that addresses comprehensive income? b) Provide the definition of comprehensive income. c) What items are generally included in comprehensive income and give examples. d) What are reclassification adjustments? e) Provide the definition of accumulated other comprehensive income. 6) Locate the FASB Codification Standard that addresses revenue recognition when a right of return exists and answer the following questions (use paragraph citations). 20 pts a) What is the code section number that addresses revenue recognition when a right of return exists? b) What step(s) in the revenue recognition model does the right of return impact? c) Does the FASB literature provide an example of the accounting for a right of return? If so, summarize the example. d) What are the general guidelines for constraining estimates of the transaction price (variable consideration) 7) Locate the FASB Codification Standard that addresses accounting for losses from uncollectible receivables and answer the following questions (use paragraph citations) 15 pts a) What is the code section number that addresses accounting for losses from uncollectible receivables? b) When should an accrual for losses from uncollectible receivables be made? c) What happens if a company cannot make an estimate of potentially uncollectible receivables
