COURSE DESCRIPTION

The purpose of this course is to inform the reader of the various changes affecting accounting and financial reporting, as well as a review and recall of existing accounting standards. Topics include a summary of newly issued FASB statements, current and pending developments, the new lease standard, practice issues, a discussion of accounting and financial reporting issues related to COVID19, the CARES Act and PPP loans, accounting, and disclosures for the Employee Retention Credit (ERC) and Pass-Through Entity (PTE) tax. The course also addresses new statements issued by the Auditing Standards Board, changes in compilation and review standards, and more.

Topics include:

• Implementing the New Lease Standard- 2022 ASU 2016-02 Leases (Topic 842) and Other Amendments
• Accounting and Financial Reporting for COVID-19, the CARES Act and PPP Loans 2022 Edition
• Accounting and Disclosures for the Employee Retention Credit (ERC) and the Pass-Through Entity (PTE) Tax- 2022 Edition.
• ASU 2016-13 Financial Instruments – Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments-2022
• Current Developments- Accounting and Financial Reporting- 2022
  
• Selected Accounting Standards Updates (ASUs) 2022
  
• SSARS No. 25 Materiality in a Review of Financial Statements and Adverse Conclusions
  
• New Auditing Standards: SAS Nos. 134-145

Learning Objectives:

After reading the Chapter 1 course material, you will be able to:

• 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 initially 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
• Recall the potential impact that the new lease standard might have on a lessee’s EBITDA and debt-equity ratios.

After reading the Chapter 2 course material, you will be able to:

• Recognize some types of concentrations that might require disclosure under the risk and uncertainty rules including supply-chain shortages
• Identify the definition of near term
• Recall the frequency in which an entity should test goodwill for impairment
• Recognize some exit and disposal costs
• Recall how to classify business interruption insurance proceeds on the financial statements
• Identify the benchmark used to determine a going concern
• Identify a method that can be used to measure variable consideration revenue
• Recognize an example of a construction-type contract
• Identify an advantage of a remote accounting function
• Recall how to adjust a deferred tax account when there is a change in tax law
• Recognize a change made by the CARES Act to the deductibility of interest
• Recognize how to account for PPP loan forgiveness
• Identify how to treat the forgiveness of a PPP loan for tax purposes

After reading the Chapter 3 course material, you will be able to:

• Recognize the type of expense that is the basis for measuring the amount of the ERC. 13
• Identify where to present the ERC in the statement of income using the ASC 958 conditional contribution model.
• Recognize where to present the ERC in the statement of income using the IAS 20 grant model.
• Identify an action step to be taken to correct the previous presentation and disclosure of an ERC in the prior year's statement of income.
• Recognize the proper presentation of the ERC in a tax-basis statement of income.
• Recognize a technique that has been attempted to circumvent the SALT deduction limitation.
• Identify how to account for the PTE tax in an entity’s financial statements.
• Recognize the requirements for recording deferred state income taxes concerning the PTE tax election.
• Identify disclosures that should be made for the PTE tax.

After reading the Chapter 4 course material, you will be able to:

• Recognize the model that ASU 2016-13 uses to deal with credit losses
• Identify how credit losses should be recorded under the new ASU 2016-13
• Identify some of the disclosures required by ASU 2016-13

After reading the Chapter 5 course material, you will be able to:

• Identify the elements that are the target of the FASB’s disaggregation project
• Recognize one of the characteristics of a multi-employer pension plan
• Recognize the impact that life expectancy has on the amount of a pension liability
• Identify the basic rule of the LIFO Conformity Requirement
• Recognize how the IPIC external index for LIFO is used for GAAP
• Recall the type of investment that is eliminated by ASU 2016-01
• Identify when a sustainability disclosure is required by an SEC company
• Recognize an example of a contract that is exempt from the scope of the revenue standard
• Identify one of the two approaches that are used to recognize revenue using the new revenue standard
• Recall a change to the accounting for the goodwill that is proposed by the FASB
• Recognize how to present deferred income taxes on the balance sheet under ASU 2015-17
• Recognize the basis that most marijuana businesses have to use
• Recognize when a state might be able to charge sales tax under the Wayfair decision

After reading the Chapter 6 course material, you will be able to:

• Identify the private company election to perform a triggering event evaluation
• Recognize the types of arrangements that qualify for the private company accounting alternative election related to goodwill amortization and acquisitions
• Recognize the accounting alternative for leases under common control in ASU 2018-17

After reading the Chapter 7 course material, you will be able to:

• 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 14
• Identify whether a report is required in the preparation of financial statements 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 the 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

After reading the Chapter 8 course material, you will be able to:

• Identify a suggestion for an auditor to reduce time and increase audit efficiency
• Recognize when negative accounts receivable confirmations should not be used
• Identify the form of a comfort letter that would be appropriate for an accountant to make to a lender
• Recall the rule for an auditor presenting his or her city and state on the audit report
• Identify the rules for an auditor communicating deficiencies found in an audit
• Recognize an example of a result that can occur if there is a problem with a DOL employee benefit plan audit
• Identify a type of fraudster
• Recall the location of certain sections in the auditor’s report
• Recognize the categorization of an adverse opinion
• Identify a change that SAS No. 136 makes to the limited-scope ERISA audit
• Recognize one of the changes made by AU-C 703 to ERISA audits
• Recall the reporting requirement when an auditor obtains other information in an 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
• Recognize an example of an attribute of information obtained as audit evidence per 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 some instances in which an auditor may conclude that a specialist’s work is not adequate
• Identify a type of risk assessment procedure that an auditor can use per SAS No. 145

Who Should Attend:

• All Certified Public Accountants (CPAs)

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Qualifies and Approved with all State Boards of Accountancy and the following sponsorships: