COURSE DESCRIPTION

The purpose of this course is to inform the reader of the various changes affecting accounting, compilation and review, auditing engagements, and a review and recall of existing standards. Topics include a summary of newly issued FASB statements, new statements issued by the Auditing Standards Board, changes in compilation and review, current and pending developments, practice issues, and more.

This course uses materials entitled 2021 FASB, SSARS, and SAS Update and Review, published by Fustolo Publishing LLC.

Topics include:

• Accounting and Financial Reporting for COVID-19, the CARES Act, and PPP Loans 2021 Edition
• Implementing The New Lease Standard-2021, ASU 2016-02: Leases (Topic 842) and Other Amendments
• Financial Instruments 2021: Implementing ASU 2016-13
• Current Developments: Accounting and Financial Reporting-2021
• Implementing the New Revenue Standard-ASC 606: 2021 Guidance for Private Companies
• ASU 2016-01: Financial Instruments-Overall (Subtopic 825-10), Recognition and Measurement of Financial Assets and Financial Liabilities
• SSARS No. 25: Materiality in a Review of Financial Statements and Adverse Conclusions
• New Auditing and Attestation Standards: SAS Nos. 134-143 and SSAE Nos. 19-22

Learning Objectives:

After reading the course material, you will be able to:

• Recognize some types of concentrations that might require disclosure under the risk and uncertainty rules.
• Identify the definition of the near term.
• Recall the frequency in which an entity should test goodwill for impairment.
• Recall the method for valuing certain types of inventory.
• Recognize how business interruption insurance recoveries may be presented on the statement of income.
• Identify certain GAAP going concern terminology.
• Identify certain tax law changes made by the CARES Act, and;
• Recognize how a company should present and account for CARES Act PPP loans and related forgiveness on its financial statements.
• Recognize a key change made to GAAP by the new lease standard.
• Identify a type of lease that exists for a lessee under ASU 2016-02.
• Recall a type of lease for which the ASU 2016-02 rules do not apply.
• Recognize some of the criteria that determine whether a contract is or is not a lease.
• Identify how a lessee should account for initial direct costs.
• Recall how a lessor should account for initial direct costs for a lease in certain instances.
• Identify how a lessor should account for lease payments received on the income statement for an operating lease.
• Recognize how certain existing leases are accounted for on the implementation date of ASU 2016-02, and;
• Recall the potential impact that the new lease standard might have on a lessee’s EBITDA and debt-equity ratios.
• Recognize the model that ASU 2016-13 uses to deal with credit losses.
• Identify how credit losses should be recorded under new ASU 2016-13, and;
• Identify some of the disclosures required by ASU 2016-13.
• Identify a characteristic of a multi-employer plan.
• Recall the color-coding of the funded status of a multi-employer plan.
• Recognize the impact of changes in life expectancy on pension benefit obligations.
• Recognize an argument for not amortizing goodwill.
• Identify an impact of the Wayfair decision on company sales taxes.
• Identify an example of a customer-related asset.
• Recognize an attribute of ASU 2017-04’s goodwill impairment test.
• Recognize the types of agreements that qualify as contracts under the revenue standard.
• Recall a condition that must be met to identify a separate performance obligation.
• Identify at least one method that is used to record revenue in Step 5 of the revenue standard.
• Recognize when a good is considered transferred to a customer under ASC 606.
• Recognize how to account for the transfer of a product with a right to return.
• Recall the general rule that determines whether an entity should record revenue gross or net.
• Recall how certain contract costs are accounted for under the revenue standard, and;
• Recognize certain disclosures required by the revenue standard for nonpublic entities.
• Identify the category of securities for which ASU 2016-01 retains the three categories under existing GAAP.
• Recall one of the changes made by ASU 2016-01 to existing GAAP for financial instruments.
• Recall how available-for-sale debt securities are measured on an entity’s balance sheet.
• Recognize how an entity should account for a temporary impairment.
• Recall how an entity should present an unrealized gain or loss on equity security under ASU 2016-01.
• Identify how a mutual fund that invests in debt and equity securities should classify the investment, and;
• Recall a change made to the exemption for fair value disclosures concerning trade receivables and payables.
• Recognize a precondition for an accountant to accept an SSARS engagement.
• Recall whether the preparation of financial statements standard is an attest or non-attest service.
• Identify whether a report is required in the preparation of financial statement engagement.
• Recognize what the reporting requirements are if any when a "no assurance" legend is omitted from prepared financial statements under the AR-C 70 standards.
• Identify where to disclose GAAP departures in a preparation of financial statements engagement.
• Identify factors that should consider in determining materiality in a review engagement.
• Recognize a change that SSARS No. 25 makes to the accountant’s review report.
• Identify the term that GAAP uses for management’s assessment of an entity’s going concerned.
• Recall some of the items that should be documented in a review engagement.
• Identify a change that SAS No. 136 makes to the limited-scope ERISA audit.
• Identify a reference that is made in the new definition of materiality.
• Recognize the definition of certain types of paragraphs made by SAS No. 139.
• Identify an attribute of audit evidence referenced in SAS No. 142.
• Identify how inherent and control risk should be assessed under the SAS No. 143 requirements.
• Recall the three approaches that an auditor can use to perform further audit procedures required by SAS No. 143.
• Identify a change made by SSAE No. 19.
• Recognize one of the four types of engagements within SSAE No. 21’s new definition of attestation engagement.
• Identify an example of subject matter that is within the scope of SSAE No. 22’s review.

Who Should Attend:

• All Certified Public Accountants (CPAs)