Examine the bases of accounting available to small- and medium-sized privately-owned businesses, including the AICPA's Financial Reporting Framework for Small- and Medium-Sized Entities (FRF for SMEs). You'll review the cash and tax bases of accounting and other special-purpose frameworks. The features, benefits and risks of each framework will be covered and guidance for professional judgments. This course, taken with the 4-hour Preparing Financial Statements for Clients (PRFS), meets the 8-hour accounting CPE requirement for accountants who prepare financial statements but perform no audits, reviews or compilations.
Learning Objectives
- Identify the special purpose and GAAP frameworks
- Determine primary differences between the frameworks
- Recognize situations in which the use of each framework might be useful
- Identify the risks to a company and its independent accountants associated with each framework
- Recognize ways that framework selection impacts financial statements, including disclosures, and impacts compilations and reviews
Major Topics
- Special purpose frameworks vs. GAAP
- AICPA's Financial Reporting Framework for Small- and Medium-Sized Entities (FRF for SMEs)
- Cash and tax bases of accounting
- Other Comprehensive Basis Of Accounting (OCBOA)
- Revenue recognition
- Accounting methods
- Financial statements
- Disclosures
