Logo
Question Details Normal
$ 20.00
Case Study Assistance
  • From Business, International Business
  • Due on 04 Mar, 2018 12:00:00
  • Asked On 28 Feb, 2018 09:15:40
  • Due date has already passed, but you can still post solutions.
Question posted by
request

Read the case study indicated below, and answer the following questions:

 

Marianne, J. L. (2010). Accounting for business combinations and the convergence of International Financial Reporting Standards with U.S. Generally Accepted Accounting Principles: A case study. Journal of the International Academy for Case Studies, 16(1), 95-108. (this has been attached)

 

1. What key financial ratios will be affected by the adoption of FAS 141R and FAS 160? What will be the likely effect?

2. Could any of the recent and forthcoming changes affect the company’s acquisition strategies and potentially its growth?

3. What were FASB’s primary reasons for issuing FAS 141R and FAS 160?

4. What are qualifying SPEs? Do they exist under IFRS? What is the effect of FAS 166 eliminating the concept of qualifying SPEs on the convergence of accounting standards?

5. If the company adopts IFRS, what changes should management be aware of?

6. What are the principle differences between IFRS and U.S. GAAP?

 

Your submission should be a minimum of four pages in length in APA style. Be sure to cite and reference all quoted or paraphrased material appropriately in APA style.

Available solutions
$ 17.00
Accounting Standards Assignment
  • This solution has not purchased yet.
  • Submitted On 01 Mar, 2018 12:36:16
Solution posted by
solution
Accounting Standards Assignment Name: Date: University Affiliation 1. In the past, the general practice has been to recognize an asset at acquisition and to include the acquisition related costs in the value of the asset. However, FAS 141 R changes this as it requires that the acquisition costs be recognized separately. Also the bargain in, the purchase is recognized as a gain. Therefore, we can safely say that it has an effect on the ratios involving assets and liabilities as such it will affect the current ratio and the Quick ratio positively leading the ratios to increase. Because of its effect on non-controlling interest, it will also affect the gearing ratio, leverage, and interest cover ratio positively. The revision of FAS 141 also brought in grounds for the recognition of intangible noncurrent assets such as good will which further developed the fair value concept ("FASB: Financial Accounting Standards Board," 2017). 2. Yes, they will affect the company’s acquisition strategy and potential growth. For instance, the company has the to change to the proposed four-step acquisition method to comply with the revision. The acquisition process follows the following steps. Identification of the acquirer. Note that the acquirer in this case is the entity that gives up consideration and assume...
Buy now to view full solution.
$ 10.00
Case Study Assistance
  • This solution has not purchased yet.
  • Submitted On 01 Mar, 2018 02:05:36
Solution posted by
solution
What key financial ratios wil...
Buy now to view full solution.
$ 8.00
Case Study Assistance
  • This solution has not purchased yet.
  • Submitted On 02 Mar, 2018 07:15:16
Solution posted by
solution
Read the case study indicated below, and answer the following questions: Marianne, J. L. ...
Buy now to view full solution.
Other Related Questions
User Profile
rjyay...
closebutton
Only 45 characters allowed.
closebutton

$ 629.35