government accounting Chapter 12 pp
新西兰根据国际会计准则第12号递延所得税会计处理【外文翻译】
外文文献翻译原文：Accounting for deferred taxes under NZ IAS 12A “balance sheet”approachThe most significant change in NZ IAS 12 from SSAP-12 is that the basis used to account for deferred taxes follows a balance sheet approach as opposed to an income statement approach. To calculate deferred taxes under the balance sheet approach, we must determine an entity’s temporary differences. Temporary differences are the differences between the carrying amount of an asset or liability in the balance sheet and its tax base (i.e., the amount attributed to the same asset or liability for tax purposes).In contrast, to calculate deferred taxes under the income statement approach, we must determine an entity’s timing differences. Timing differences arise when revenue and expense items are recognized in the calculation of accounting profit before or after they are included in the calculation of taxable profit.The focus of the deferred tax calculation in the balance sheet approach is on items that appear in the balance sheet, while for the income statement approach it is on items that appear in the income statement. However, since the income statement is a by-product of the balance sheet, all timing differences by definition must be a component of temporary differences (see paragraph 17 of NZ IAS 12 which hints at this point).In some situations, the amount of temporary differences will equal the amount of timing differences in a period. However, the amount of timing differences cannot be greater than the amount of temporary differences. This is because not all asset and liability items in the balance sheet necessarily have an effect that passes through the income statement and which would impact on deferred taxes. For example, a temporary difference, but not a timing difference, can arise when an asset is revalued upwards (with the increment in value recognized in equity and not in the income statement), but there is no equivalent adjustment made for tax purposes (see later for amore detailed discussion of how this is accounted for under NZ IAS 12).Therefore, the main consequence of the balance sheet approach for entities when they adopt NZ IAS 12 is that it can capture a much wider range of items that will give rise to the recognition of deferred taxes in the financial statements. Further, the change to a balance sheet approach is consistent with the asset-liability orientation to financial reporting that is advocated for by the International Accounting Standards Board in its “Framework for the Preparation and Presentation of Financial Statements”and the New Zealand Institute of Chartered Accountants (formerly the Institute of Chartered Accountants of New Zealand) in its “Statement of Concepts for General Purpose Financial Reporting.”Recognition of all temporary differences-no “partial” recognitionNZ IAS 12 requires a deferred tax liability to be recognized for all taxable temporary differences. Taxable temporary differences result in taxable amounts that impact the taxable profit of future periods when the carrying amount of an asset or liability is recovered or settled. Further, NZ IAS 12 requires a deferred tax asset to be recognized for all deductible temporary differences, although this is subject to certain criteria. Deductible temporary differences result in amounts that are deductible in determining the taxable profit of future periods when the carrying amount of an asset or liability is recovered or settled. Therefore, while some very limited exceptions apply, the requirement in NZ IAS 12 is that all temporary differences (taxable and deductible) are to be recognized as deferred taxes (liability and asset, respectively) in the financial statements.In general, when all temporary differences are recognized as deferred tax, this is often referred to as tax effect accounting under a “comprehensive”basis. When only some, but not all, temporary differences are recognized as deferred tax, this is often referred to as tax effect accounting under a “partial”basis. Using this terminology and distinction, NZ IAS 12 can be viewed as following a comprehensive basis. On the other hand, SSAP-12 allows entities the choice to recognize deferred taxes either under a comprehensive basis or under a partial basis, although the preferred option is comprehensive. As such, this provides a significant variation between the twoaccounting standards because the partial basis is not allowed in NZ IAS 12.By and large the partial basis arose out of concerns regarding the recognition of deferred tax liabilities when tax effect accounting under the comprehensive basis was used. These concerns centre on the issue of whether taxable temporary differences “reverse”. There are situations where the temporary differences created under the comprehensive basis may cause an entity to report on its balance sheet a deferred tax liability that appears never to be settled and which may be ever growing in nature. This can occur if an entity has high investments and/or a policy of continually investing in depreciable assets. In such a case, the taxable temporary differences may not reverse because new temporary differences are created and recognized that more than offset any reversing temporary differences from a prior period. Hence, this gives the impression that settlement of the deferred tax liability can be postponed indefinitely. The partial basis would overcome this concern by recognizing as deferred taxes in the financial statements only those temporary differences that are expected to have a future cash flow effect (i.e., those that are expected to reverse).While many New Zealand entities currently use the comprehensive basis and recognize all timing differences as deferred tax, NZ IAS 12 will cast that net wider by requiring all temporary differences to be recognized. The effect of this on entities will be small if the total amount of temporary differences is similar to the total amount of timing differences. But the effect could be substantial for entities that currently use the partial basis under SSAP-12 and have a history of not recognizing deferred taxes from all timing differences. These unrecognized amounts will now have to be recognized, and for some entities, this will not be a trivial exercise. To illustrate, consider what happened to Air New Zealand when it reported a change in its accounting policy for income taxes from the partial basis to the comprehensive basis for its financial year ending 2000, albeit under the requirements of SSAP-12. The financial effect of doing so increased Air New Zealand’s deferred tax liability by $786 million, an amount that had previously been unrecognized. It also significantly contributed to Air New Zealand’s bottom line net loss of$600 million and substantially increased its debt to total assets ratio from 34 to 66 percent for its 2000financial year. Interestingly, Air New Zealand cited that its main reason for changing to the comprehensive basis was to bring its books in line with international accounting standard trends. More recently, Wong and Wong6 provide descriptive evidence that deferred taxes from unrecognized timing differences from a sample of New Zealand’s largest companies in 2002 and 2003 are not small.NZ IAS 12’s requirement to recognize all temporary differences as deferred tax will fuel further debate on the merits of tax effect accounting under the comprehensive and partial bases. The resolution of this debate is far from certain, especially given recent research findings that entities choose partial over the comprehensive basis because it provides more accurate and relevant information about the deferred tax figures presented in the financial statements when there are temporary differences that are not expected to reverse.Deferred tax assetsNZ IAS 12 and SSAP-12 both allow the recognition of deferred tax assets. However, the recognition conditions in NZ IAS 12 differ from those in SSAP-12. In NZ IAS 12, the recognition of a deferred tax asset depends on “the extent that it is probable that taxable profit will be available against which the deductible temporary difference can be utilized”(paragraph 24 of NZ IAS 12). In SSAP-12, the recognition of a deferred tax asset depends on “the extent that there is virtual certainty of its recovery in future periods”(paragraph 4.20 of SSAP-12). Hence, the recognition conditions in NZ IAS 12 regarding deferred tax assets appear to be less stringent than those in SSAP-12.The main consequence of this change in NZ IAS 12 is that entities are likely to recognize and report a higher incidence of deferred tax assets on their balance sheet than what we have seen under SSAP-12. However, NZ IAS 12 also requires that entities be conservative in their measurement of the deferred tax asset and they must review the carrying amount at each balance date. If there is a probability that there will no longer be sufficient taxable profits available to allow the benefit of part or the entire deferred tax asset to be utilized, then the carrying amount of the deferred tax asset must be reduced accordingly (paragraph 56 of NZ IAS 12). In addition, thefinancial effect of recognizing a deferred tax asset (or for that matter, a deferred tax liability) may be reduced if an entity offsets the deferred tax assets and deferred tax liabilities that they present on the balance sheet (paragraph 74 of NZ IAS 12). Revalued assetsAn interesting issue that arises in NZ IAS 12 concerns the revaluation of assets. In this situation, when an asset is revalued upwards in the financial statements, but there is no similar adjustment to the tax base of the asset, this creates a taxable temporary difference that requires the recognition of a deferred tax liability. In comparison, no deferred tax liability would be recognized in the balance sheet for an asset that is revalued under the income statement approach in SSAP-12. Generally, this is because of the way in which the depreciation charge from the revalued asset is handled in the income statement for accounting and tax purposes. While the depreciation expense for accounting purposes is based on the revalued amount, depreciation expense that is deducted for tax purposes must still be based on the asset’s original cost. This means that the depreciation expense that arises from the revaluation increment never has a tax effect (i.e., a timing difference does not arise from that part of the depreciation expense related to the revalued asset) under SSAP-12. Hence, the change in requirement in NZ IAS 12 could increase significantly the amount of the deferred tax liability that is recognized on the balance sheet because entities revalue their assets regularly.The measurement of the deferred tax liability from the revaluation in NZ IAS 12 depends on the manner in which the carrying amount of the asset is expected to be recovered at balance date (see paragraph 52 of NZ IAS 12, in particular example B) - that is, whether the asset is expected to be recovered through its further use or if the asset is expected to be recovered through its subsequent disposal. If the carrying amount of the asset is expected to be recovered through its further use, a deferred tax liability would be recognized by calculating the difference between the carrying amount (i.e., the revalued amount) and the tax base of the asset. If the carrying amount of the asset is expected to be recovered through its subsequent disposal, a deferred tax liability would be recognized by determining the difference between thecarrying amount and the tax base of the asset, but adjusted for any amount considered to be a capital gain (i.e., the expected proceeds from the disposal in excess of the original cost of the asset). This adjustment is necessary because capital gains are not taxable under current New Zealand tax legislation. Also, the deferred tax liability that is recognized from the revaluation of the asset must be charged directly to equity (paragraph 61 of NZ IAS 12). This is because the accounting for the revaluation itself involves the increment in value being recognized in equity and not in the income statement.To illustrate these two situations, consider this example. Assume an entity owns an asset that cost $100,000 to acquire. The carrying amount before the asset is revalued is $60,000, while the tax base is $50,000. The asset is revalued to $120,000, but no similar adjustment is made for tax purposes. The tax rate is 33 percent and capital gains from the sale of assets are not taxed.If the carrying amount of the revalued asset is expected to be recovered through its further use, the amount of the temporary difference would be $70,000 (i.e., $120,000- $50,000). This figure is a taxable temporary difference because the entity expects to recover benefits from the asset’s further use to the carrying amount of $120,000. Hence, the deferred tax liability that is recognized from the revalued asset would be $23,100 (i.e., $70,000 x 33 percent). If the carrying amount of the revalued asset is expected to be recovered through its subsequent disposal, the taxable temporary difference would again amount to $70,000 (i.e., $120,000-$50,000). However, $20,000 of this amount is a capital gain (found by deducting the original cost of $100,000 from the revalued amount of $120,000). This means that only $50,000 of the $70,000 temporary difference is actually taxable. Hence, the deferred tax liability that is recognized from the revalued asset would be $16,500 (i.e., $50,000 x 33 percent).We can see from the above example that not only will NZ IAS 12 require entities to recognize a deferred tax liability from an asset that is revalued upwards, but it will also require entities to make a decision about how their assets are expected to be recovered, as this will have a bearing on how entities measure the deferred taxliability.Wong, Norman. Accounting for deferred taxes under NZ IAS 12.[J] University of Auckland Business Review, 2006:55-59译文：新西兰根据国际会计准则第12号递延所得税会计处理一、一种“资产负债表”的研究方法在新西兰会计准则最重要的变化是关于国际会计准则第12号所得税会计，尤其是在用于计算递延税项的基础上，遵循资产负债表观，而不是损益表观。
responsibility-accounting
CHAPTER 12Responsibility Accounting and Total QualityANSWERS TO REVIEW QUESTIONS12-1 A responsibility-accounting system fosters goal congruence by establishing the performance criteria by which each manager will be evaluated. Development of performance measures and standards for those measures can help to ensure that managers are striving toward goals that support the organization's overall objectives. 12-2 Goal congruence results when the managers of subunits throughout an organization strive to achieve objectives that are consistent with the goals set by top management. In order for the organization to be successful, the managers and employees throughout the organization must be striving toward consistent goals.12-3 Several benefits of decentralization are as follows:(a) The managers of an organization's subunits have specialized information andskills that enable them to manage their departments most effectively.(b) Allowing managers autonomy in decision making provides managerial trainingfor future higher-level managers.(c) Managers with some decision-making authority usually exhibit greater motivationthan those who merely execute the decisions of others.(d) Delegating some decisions to lower-level managers provides time relief to upper-level managers.(e) Delegating decision making to the lowest level possible enables an organizationto give a timely response to opportunities and problems.Several costs of decentralization are as follows:(a) Managers in a decentralized organization may have a narrow focus on their ownunits' performance.(b) Managers may tend to ignore the consequences of their actions on theorganization's other subunits.(c) In a decentralized organization, some tasks or services may be duplicatedunnecessarily.12-4 (a) Cost center: A responsibility center, the manager of which is accountable for the subunit's costs. (An example is a production department in a manufacturing firm.)(b) Revenue center: A responsibility center, the manager of which is accountable forthe subunit's revenue. (An example is a sales district in a wholesaling firm.)(c) Profit center: A responsibility center, the manager of which is accountable for thesubunit's profit. (An example is a particular restaurant in a fast-food chain.)(d) Investment center: A responsibility center, the manager of which is accountablefor the subunit's profit and the capital invested to generate that profit. (Anexample is a commuter airline division of an airline company.)12-5 It would be appropriate to change a particular hotel from a profit center to an investment center if the manager of the hotel is given the authority to make significant investment decisions affecting the hotel's resources.12-6 Flexible budgeting allows a performance report to be constructed in a meaningful way. The performance report should compare actual expenses incurred with the expenses that should have been incurred, given the actual level of activity. The expenses that should have been incurred given the actual level of activity can be obtained from the flexible budget.12-7 Under activity-based responsibility accounting, management's attention is directed toward activities, rather than being focused primarily on cost, revenue, and profit measures of subunit performance. Activity-based responsibility accounting uses the database generated by an activity-based costing system coupled with nonfinancial measures of operational performance for key activities. Such an approach can help management eliminate non-value-added activities and improve the cost effectiveness of activities that do add value to the organization's product or service. 12-8 Attention to the following two factors may yield positive behavioral effects from a responsibility-accounting system.(a) When properly used, a responsibility-accounting system does not emphasizeblame. The emphasis should be on providing the individual who is in the bestposition to explain a particular event or financial result with information to help inunderstanding reasons behind the event or financial result.(b) Distinguishing between controllable and uncontrollable costs or revenues helpsthe individuals who are evaluated under a responsibility-accounting system tofeel as though they are evaluated on the basis of events and results over whichthey have some control or influence.12-9 Rarely does a single individual completely control a result in an organization. Most results are caused by the joint efforts of several people and the joint impact of several events. Nevertheless, there is usually a person who is in the best position to explain a result or who is in the best position to influence the result. In this sense, performance reports based on controllability really are based on a manager's ability to influence results.12-10 (a) Cost pool: A collection of costs to be assigned to a set of cost objects. (An example of a cost pool is all costs related to material handling in a manufacturingfirm.)(b) Cost object: A responsibility center, product, or service to which a cost isassigned. (The various production departments in a manufacturing firm provideexamples of cost objects. For example, the material-handling cost pool may beallocated across the various production departments that use material-handlingservices.)12-11 Cost allocation (or distribution): The process of assigning costs in a cost pool to the appropriate cost objects. (An example of cost allocation would be the assignment of the costs in the material-handling cost pool to the production departments that use material-handling services. For example, the material-handling costs might be allocated to production departments on the basis of the weight of the materials handled for each department.)12-12 An example of a common resource in an organization is a computer department. The resource includes the computer itself, the software, and the computer specialists who run the computer system and assist its users. The opportunity costs associated with one person using the computer resource include the possibility that another user will be precluded from or delayed in using the computer resource. Allocating the cost of the computer services department to the users makes the users aware of the opportunity cost of using the computer.12-13 A computer system has a limited capacity at any one time. Allocating the cost of using the service to the user makes the user aware that his or her use of the system may preclude someone else from using it. Thus, the user is made aware of the potential opportunity cost associated with his or her use.12-14 A cost allocation base is a measure of activity, physical characteristic, or economic characteristic associated with the responsibility centers, which are the cost objects in the allocation process. One sensible allocation base for assigning advertising costs to the various components of a large theme park is the number of people patronizing the park's various components. Presumably, the number of people attending a certain part of the theme park is an indication of how popular that part of the park is. Notice that in most cases the sales revenue generated by the various components of the theme park is not a viable allocation base, since most theme parks have a single admission fee for the entire park.12-15 Marketing costs are distributed to the hotel's departments on the basis of budgeted sales dollars so that the behavior of one department does not affect the costs allocated to the other departments. If, on the other hand, the marketing costs had been budgeted on the basis of actual sales dollars, then the costs allocated to each department would have been affected when only one department's actual sales revenue changed.12-16 A segmented income statement shows the segment margin for each major segment of the enterprise.12-17 Many managerial accountants believe that it is misleading to allocate common costs to an organization's segments. Since these costs are not traceable to the activities of segments, they can be allocated to segments only on the basis of a highly arbitrary allocation base.12-18 It is important in responsibility accounting to distinguish between segments and segment managers, because some costs that are traceable to a segment may be completely beyond the influence of the segment manager. Proper evaluation of the segment as an investment of the company's resources requires that these costs be included with costs associated with the segment. However, in evaluations of the manager's performance, these costs should be excluded, since the manager has no control over them.12-19 Three key features of a segmented income statement are as follows: contribution format, identification of controllable versus uncontrollable expenses, and segmented reporting, which shows income statements for the company as a whole and for each of its major segments.12-20 A common cost for one segment can be a traceable cost for another segment. For example, the salary of the general manager of a hotel is traceable to that segment of the entire hotel company. However, the salary of the hotel's general manager is a common cost for each of the departments in that hotel, such as the food and beverage department and the hospitality department.12-21 Customer profitability analysis refers to using the concepts of activity-based costing to determine how serving particular customers causes activities to be performed and costs to be incurred. Examples of activities that can be differentially demanded by customers include order frequency, order size, special packaging or handling, customized parts or engineering, and special machine setups. Such activities can make some customers more profitable than others.12-22 Four types of quality costs are as follows:(a) Prevention costs: the costs of preventing defects.(b) Appraisal costs: the costs of determining whether defects exist.(c) Internal failure costs: the costs of repairing defects found prior to product sale.(d) External failure costs: the costs incurred when defective products have beensold.12-23 Observable quality costs can be measured and reported, often on the basis of information in the accounting records. For example, the cost of inspectors' salaries is an observable quality cost. Hidden quality costs cannot easily be measured, reported, or even estimated. For example, the opportunity cost associated with lost sales after a defective product is sold is a hidden quality cost to the company.12-24 A product's quality of design is how well it is conceived or designed for its intended use. The product's quality of conformance refers to the extent to which a product meets the specifications of its design.12-25 A product's grade is the extent of its capability in performing its intended purpose, viewed in relation to other products with the same functional use. An example in the service industry is airline travel. Airplane seats may be coach class or first class; the difference lies in seat size, comfort, and service. Either class will take you from Los Angeles to Chicago, but not with the same degree of comfort.12-26 "An ounce of prevention is worth a pound of cure" can be interpreted in terms of resources expended on various categories of quality costs. A dollar spent on prevention may save many dollars of appraisal, internal failure, or external failure costs.12-27 A cause and effect diagram shows by means of connected lines all the possible causes of a particular type of defect in a product or service.SOLUTIONS TO EXERCISESEXERCISE 12-28 (10 MINUTES)The type of responsibility center most appropriate for each of the following organizational subunits is indicated below.(1) Movie theater: Cost center or profit center.(2) Radio station: Profit center.(3) Claims department: Cost center.(4) Ticket sales division of an airline: Revenue center.(5) Bottling plant: Cost center.(6) Orange juice factory: Profit center.(7) College of engineering at a university: Profit center.(By designating the college of engineering as a profit center, this subunit isencouraged to generate research grants and manage its operations mosteffectively. The term "profit center" is used in a slightly different way here. Nosubunit in a university really makes a profit. However, treating the college ofengineering like a profit center means that this subunit's management will haveconsiderable authority in managing the subunit's revenues and expenses.)(8) European division of a multinational manufacturing company: Investmentcenter.(9) Outpatient clinic in a profit-oriented hospital: Profit center.(10) Mayor's office of a city: Cost center.EXERCISE 12-29 (10 MINUTES)The appropriate responsibility-accounting treatment for each of the scenarios is the following:(1) Since the cost of idle time incurred in Department B was due to the breakdown ofimproperly maintained machinery in Department A, the costs of the idle time should be charged to Department A.(2) If the machinery had been properly maintained, it would be more appropriate not tocharge the cost due to idle time in Department B back to Department A. This cost should be considered a normal cost of operating in a sequential production environment. The managers of Department B should anticipate such normal machine breakdowns and plan their production scheduling to accommodate such events.EXERCISE 12-30 (10 MINUTES)The Maintenance Department should not be charged for the excess wages of the skilled employees who are temporarily assigned to the Maintenance Department. Modifications should be made in the responsibility-accounting system as follows: (1) the Maintenance Department should be charged with only the normal wages for maintenance employees, $12 per hour. (2) The additional $10 per hour ($22 –$12) should be charged to a top management level account, since the decision to keep these employees on the payroll was made by top management.EXERCISE 12-31 (10 MINUTES)By designating this department as a profit center, the corporation has given the managers of the department an opportunity to manage their operation just like a full-fledged business. These managers have specialized knowledge and skills that make them experts in the area of logistics and distribution. They are in the best position to read the needs of other units to whom they provide logistics services, and are also in the best position to make cost-benefit trade-offs that arise in the provision of logistical services. By treating this service department as a profit center, the organization has given its managers an incentive to control costs and also provide a quality service that meets the needs of its customers.A profit center such as this might not be free to sell its services outside the company. Moreover, the creation of this profit center suggests the need for an internal pricing structure for services supplied to other subunits.McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc.12-8 Solutions ManualEXERCISE 12-32 (50 MINUTES)P ERFORMANCE R EPORTS FOR M ARCH : S ELECTED S UBUNITS OF A LOHA H OTELS AND R ESORTS (IN THOUSANDS )Flexible Budget* Actual Results* Variance †March Year to Date** March Year to Date** March Year to Date**Food and Beverage DepartmentBanquets & Catering .............. $ 650 $ 1,910 $ 658 $ 1,923 $ 8 F $ 13 FRestaurants ............................ 1,800 5,550 1,794 5,534 6 U 16 U.................................... (3,233) (1,069) (3,242) 4 U 9 U $ 4,227 $ 1,383 $ 4,215 $2 U $12 UKitchen staff wages................ $ (253) $ (86) $ (255) $1 U $ 2 UFood ........................................ (2,110) (690) (2,111) — 1 UPaper products ....................... (375) (122) (370) 3 F 5 FVariable overhead .................. (225) (78) (232) 3 U 7 UFixed overhead ....................... (270) (93) (274) 3 U 4 UTotal expense ......................... $ (1,065) $ (3,233) $(1,069) $ (3,242) $4 U $ 9 U*Numbers without parentheses denote profit; numbers with parentheses denote expenses.†F denotes favorable variance; U denotes unfavorable variance. **Year-to-date column equals year-to-date column for February in Exhibit 12-4 in the text plus March amount. For example, $1,910 equals $1,260 plus $650.EXERCISE 12-33 (30 MINUTES)1. Allocation of costs:Division DepartmentandAllocation Base Liberal Arts SciencesBusiness AdministrationTotalCostAllocatedAdmissions (enrollment)$36,000(1,000/2,500)$28,800(800/2,500)$25,200(700/2,500)$90,000Registrar (credit hours)$56,250(30,000/80,000)$52,500(28,000/80,000)$41,250(22,000/80,000)$150,000Computer Services (courses requiring computer) $64,000(12/60)$128,000(24/60)$128,000(24/60)$320,000The Admissions Department costs are allocated on the basis of enrollment. The more students enrolled in a division, the more admissions there are to process.The Registrar's costs are allocated on the basis of credit hours. The greater the number of credit hours, the more course registrations there are to process.The Computer Services Department's costs are allocated on the basis of the number of courses requiring computer work. The greater the number of computer-intensive courses, the greater will be the demands placed on the Computer Services Department.2. The number of courses would probably be a better allocation base for the Registrar'scosts. Costs in this department are driven by processing course registrations, not credit hours. A four-credit course does not require any more registration effort than a three-credit course.The estimated amount of computer time required would probably be a better allocation base for the Computer Services Department. Two different courses requiring computer work could place vastly different demands on the Computer Services Department.EXERCISE 12-34 (40 MINUTES)S EGMENTED I NCOME S TATEMENTS:C OUNTYWIDE C ABLE S ERVICES,I NC.Countywide Segments of CompanyCableServices Metro Suburban Outlying Service revenue ...................... $2,200,000 $1,000,000 $ 800,000 $ 400,000 Variable expenses ................... 450,000 200,000 150,000 100,000 Segment contribution margin $1,750,000 $ 800,000 $ 650,000 $ 300,000 Less: Fixed expensescontrollable by segmentmanager ................................ 870,000 400,000 320,000 150,000 Profit margin controllable bysegment manager ................. $ 880,000 $ 400,000 $330,000 $ 150,000 Less: Fixed expenses,traceable to segment, butcontrollable by others .......... 520,000 230,000 200,000 90,000 Profit margin traceable tosegment ................................ $ 360,000 $ 170,000 $130,000 $ 60,000 Less: Common fixed expenses 95,000Income before taxes ............... $ 265,000Less: Income tax expense ...... 145,000Net income ............................... $ 120,000EXERCISE 12-35 (5 MINUTES)1. appraisal cost2. external failure cost3. internal failure cost4. prevention costEXERCISE 12-36 (20 MINUTES)S AN M ATEO C IRCUITRYQ UALITY C OST R EPORTCurrent Month's Costs PercentageofTotalPrevention costs:Training of quality-control inspectors....................................... $21,000 22.2 Total ....................................................................................... $21,000Appraisal costs:Inspection of purchased electrical components ...................... $12,000 12.7 Tests of instruments ................................................................... 30,000 31.7 Total ....................................................................................... $42,000Internal failure costs:Costs of rework ........................................................................... $ 9,000 9.5 Costs of defective parts that cannot be salvaged .................... 6,100 6.5 Total ....................................................................................... $15,100External failure costs:Replacement of instruments already sold ................................ $16,500 17.4 Total ....................................................................................... $16,500 _____ Total quality costs ......................................................................... $94,600 100.00 EXERCISE 12-37 (10 MINUTES)Observable quality costs in the airline industry:∙Cost of repairing damaged luggage.∙Cost of providing lodging for passengers stranded when a flight is cancelled due to equipment malfunction.∙Cost of cleaning a passenger's clothing when a flight attendant spills food or beverages on the passenger.McGraw-Hill/Irwin© 2002 The McGraw-Hill Companies, Inc.EXERCISE 12-37 (CONTINUED)Hidden quality costs in the airline industry:∙Cost of lost flight bookings when passengers judge in-flight service to be substandard.∙Cost of lost flight bookings when potential passengers are unable to get through to the airline's reservations service.∙Cost of lost flight bookings when passengers react to cancelled or late flights.EXERCISE 12-38 (30 MINUTES)Answers will vary widely, depending on the company chosen. Some examples are as follows:Marriott Hotels: Company-owned hotel, profit centerMcDonald’s Corporation: Company-owned resaurant, profit centerNationsBank: Regional division of company, investment centerPizza Hut: Kitchen in an individual restaurant, cost centerRamada Inn: National reservations center, revenue centerXerox Corporation: Individual manufacturing department or work center, cost centerSOLUTIONS TO PROBLEMSPROBLEM 12-39 (30 MINUTES)A wide range of possible responses is possible for this problem. The organization chart and companion chart showing responsibility accounting designations should be similar to the charts given for Aloha Hotels and Resorts in Exhibits 12-1 and 12-2, respectively. The letter to stockholders should specify the responsibilities of the managers shown in the charts. Refer to the discussion of Exhibits 12-1 and 12-2 in the text. The charts in Exhibits 12-1 and 12-2 are repeated here for convenience.McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc.PROBLEM 12-39 (CONTINUED)PROBLEM 12-39 (CONTINUED)MANAGER RESPONSIBILITY CENTERMcGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc.PROBLEM 12-40 (40 MINUTES)Once again, a wide range of responses is possible, depending on the organization designed in the preceding problem. The format for the performance reports is given in Exhibit 12-4 for Aloha Hotels and Resorts. This exhibit is repeated here for convenience.PERFORMANCE REPORTS FOR FEBRUARY:SELECTED SUBUNITS OF ALOHA HOTELS AND RESORTS(IN THOUSANDS)Flexible Budget* Actual Results* Variance†Year Year Yearto to to$(1,030) $(2,168) $(1,025) $(2,173) $ 5 F $ 5 U * Numbers without parentheses denote profit; numbers with parentheses denote expenses.† F denotes favorable variance; U denotes unfavorable variance.PROBLEM 12-41 (35 MINUTES)MemorandumDate: TodayTo: Sandy Beach, General Manager of Waikiki Sands HotelFrom: I.M. StudentSubject: Responsibility CentersThe Waikiki Sands Hotel is a profit center as specified by the corporation's top management. The hotel's general manager does not have the authority to make significant investment decisions, so an investment-center designation would be inappropriate for the hotel. The Grounds and Maintenance Department and the Housekeeping and Custodial Department should be cost centers, since these departments do not generate revenue. The Food and Beverage Department should be a profit center, since the department's manager can influence both the costs incurred in the department and the revenue generated. The Food and Beverage Director can determine the menu, set meal prices, and make entertainment decisions, all of which significantly influence the department's revenue.The Hospitality Department also should be a profit center. The Director of Hospitality has significant influence in setting room rates and making decorating decisions, which affect the department's revenue. The Director also makes hiring and salary decisions for the department's staff, which significantly affect departmental expenses. The Hospitality Department's three subunits (Front Desk, Bell Staff, and Guest Services) should be cost centers, since they do not generate revenue. The managers of these subunits can significantly influence the costs incurred in their units through hiring and salary recommendations, staff scheduling, and use of materials and equipment.McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc.PROBLEM 12-42 (60 MINUTES)1. Performance Report for August: Selected Subunits of Rocky Mountain General HospitalFlexible Budget Actual Results Variance*Year Year Yearto to to$16,200 $129,600 $16,550 $ 135,600 $ 350 U $ 6,000 U *F denotes favorable variance; U denotes unfavorable variance.2. Arrows are included on the performance report to show the cost relationships.PROBLEM 12-42 (CONTINUED)3. A variety of responses are reasonable for this question. Since the data given in theproblem do not include the individual variances over several months, it is not possible to condition the investigation on trends. The largest variances in the performance report are the most likely to warrant an investigation. The following variances for August would likely catch the attention of the hospital administrator:General Medicine Division .......................................................................... $6,000 F Administrative Division ............................................................................... 3,500 U Nursing Department ..................................................................................... 5,000 U Maintenance Department ............................................................................ 7,000 F Food servers' wages .................................................................................... 1,000 U The $1,000 variance for food servers' wages is smaller than some of the variances not listed above. However, it is a relatively large variance for only one cost item in the subunit. In contrast, the $1,600 variance for the kitchen is for an entire subunit of the hospital.McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc.PROBLEM 12-43 (45 MINUTES) 1.CostPool Division AllocationBasePercentageof TotalCostsDistributedFacilities General Medicine .......... 15,000 sq. ft. 37.5% $ 71,250 Surgical ......................... 8,000 sq. ft. 20.0% 38,000Medical Support ............ 9,000 sq. ft. 22.5% 42,750Administrative ............... 8,000 sq. ft. 20.0% 38,000Total ............................... 40,000 sq. ft. 100.0% $190,000 Utilities General Medicine .......... 135,000 cu. ft. 33.75% $ 8,100 Surgical ......................... 100,000 cu. ft. 25.00% 6,000Medical Support ............ 90,000 cu. ft. 22.50% 5,400Administrative ............... 75,000 cu. ft. 18.75% 4,500Total ............................... 400,000 cu. ft. 100.00% $ 24,000 General General Medicine ....... 30 empl. 30.00% $ 66,000 administration Surgical ......................... 20 empl. 20.00% 44,000 Medical Support ............ 20 empl. 20.00% 44,000Administrative ............... 30 empl. 30.00% 66,000Total ............................... 100 empl. 100.00% $220,000 Community General Medicine .......... $2,000,000 50.00% $ 20,000 outreach Surgical ......................... 1,250,000 31.25% 12,500 Medical Support ............ 750,000 18.75% 7,500Administrative ............... ———Total ............................... $4,000,000 100.00% $ 40,000 2. An alternative allocation base for community outreach costs is the number of hoursspent by each division's personnel in community outreach activities. This base would be more reflective of the actual contribution of each division to the program.3. The reason for allocating utility costs to the divisions is so that each division's costreflects the total cost of running the division. Since none of the divisions can operate without electricity, heat, water, and so forth, these costs should be reflected in divisional cost reports. By allocating such costs, division managers are made aware of these costs and are able to reflect the costs when pricing services and seeking third-party reimbursements, such as those from insurance companies.。
government accounting Chapter 13 pp
Key Features of Statement of Net Assets
(continued)
• General capital assets included in Governmental Activities column • Infrastructure capital assets reported using modified approach should be reported separately • General long-term liabilities reported in Governmental Activities column • Interfund payables and receivables between Governmental Funds have been eliminated – same is true for Enterprise Fund receivables and payables
Key Features of Statement of Net Assets
• Assets & liabilities presented in order of relative liquidity (unless classified) • Capital assets should be reported either
Nucleus of Financial Reporting Entity
• Usually a primary government • Other entities can serve as nucleus of own reporting entity, even when related to a primary government • Financial reports built from the bottom up, applying all definition and display provisions to each level before rolling up to next level
罗森财政学第七版（英文版）配套习题及答案Chap012
罗森财政学第七版（英文版）配套习题及答案Chap012CHAPTER 12 - Taxation and Income DistributionMultiple-Choice Questions1. Statutory incidence of a tax deals witha) the amount of revenue left over after taxes.b) the amount of taxes paid after accounting for inflation.c) the person(s) legally responsible for paying the tax.d) the amount of tax revenue generated after a tax is imposed.e) none of the above.2. Taxesa) are mandatory payments.b) are necessary for financing government expenditures.c) do not directly relate to the benefit of government goods and services received.d) are all of the above.3. General equilibrium refers toa) examining markets without specific information.b) finding equilibrium from general information.c) pricing goods at their shadow price.d) all of the above.e) none of the above.4. A demand curve that is perfectly inelastic isa) horizontal.b) vertical.c) at a 45 degree angle.d) parallel to the X-axis.5. In 2002, the top 1% of all income earners paid _________ percent of federal taxes.a) 1.0b) 4.1c) 20.6d) 24.9e) 33.36. A tax on suppliers will cause the supply curve to shifta) up.b) down.c) right.d) left.e) in none of the above directions.7. A monopoly has ______ seller(s) in the market.a) 0b) 1c) 3d) manye) all of the above8. An ad valorem tax isa) given as a proportion of the price.b) Latin for “buyer beware.”c) identical to a unit tax.d) computed using the “inverse taxation rule.”9. An industry where the capital-labor ratio is relatively high is characterized asa) capital intensive.b) labor intensive.c) income intensive.d) market intensive.e) none of the above.10. Demand for cigarettes isa) relatively elastic.b) relatively inelastic.c) constant over time.d) greater among wealthier people.11. When marginal tax rates are constant,a) the change in taxes paid is the same as the change in income.b) the change in taxes paid is greater than the change in income.c) the change in taxes paid is less than the change in income.d) there are no taxes.e) none of the above.12. The tax-induced difference between the price paid by consumers and the price receivedby producers isa) the tax difference.b) the tax wedge.c) the statutory incidence.d) the supply side effect.e) the substitution effect.13. An oligopoly has ______ sellers in the market.a) 0b) 1c) 3d) manye) all of the above14. A tax on consumers will cause the demand curve to shifta) right.b) left.c) up.d) down.e) in none of the above directions.15. Partial equilibrium isa) exactly like general equilibrium.b) studying only the supply side of the market.c) studying individual markets.d) examining the demand side of the market.Discussion Questions1. Consider a monopolist who has a total cost curve of: TC=7X+(1/2)X2. The marketdemand equation is X d=386-(1/2)P.a) What are the equilibrium quantity, equilibrium price, and profits in this market?b) Suppose that a unit tax of $1 is placed on the monopolist. What happens to theequilibrium quantity, equilibrium price, and profits? How much tax revenue doesthe government generate?c) Suppose that the same unit tax of $1 is placed on consumers. What happens tothe equilibrium quantity, equilibrium price, and profits? How much tax revenuedoes the government generate?d) What can be said about the taxes?2. Refer to Figure 12.2 in your textbook. Suppose the original before-tax demand curve isX d = 49 – P/2. Suppose further that supply is X = P/2 – 1. Now suppose a $3 unit tax is imposed on consumers.a) What is the before-tax equilibrium price and quantity?b) What is the after-tax equilibrium quantity?c) How much tax revenue is raised?3. From Question 2 above, calculate the economic incidence incurred by producers and theeconomic incidence incurred by consumers.4. Suppose that demand is perfectly elastic. Supply is normal and upward sloping. What isthe economic incidence of a unit tax placed on suppliers?5. Suppose there is a market that has market demand characterized as X = 30 –P/3.Suppose further that market supply can be written as X = P/2 – 2.a) Find the equilibrium price and quantity in this market.b) If a unit tax of $16 is imposed on good X, what are the equilibrium price, quantity,and tax revenue in the market?c) Suppose an ad valorem tax of 30 percent is imposed on good X. The after-taxdemand equation would be X = 30 –P/2. Now find the equilibrium price,quantity, and tax revenue in the market.d) What can be said about the amount of tax revenue generated under each taxingscheme, and why?True/False/Uncertain Questions1. A unit tax is a fixed amount per unit of a commodity sold.2. Regressive tax systems are bad.3. In a general equilibrium model, a tax on a single factor in its use only in a particularsector can affect returns to all factors in all sectors.4. Due to capitalization, the burden of future taxes may be borne by current owners of aninelastically-supplied, durable commodity such as land.5. Even with a tax, the price that consumers pay will be higher than what producers receive.6. Ad valorem taxes create tax wedges just like unit taxes.7. After a price change, the substitution effect will be the same as the income effect.8. Marginal tax rates supply reliable measures of tax progressiveness.9. Unit taxes cause shifts, while ad valorem taxes cause pivots.10. A lump sum tax is one for which the individual’s liability does not depend on behavior. Essay Questions1. In the press, there has been a considerable amount of attention given to the notion ofcorporations being taxed. Explain how it is that a tax on a business could be borne entirely by consumers.2. Why is it the case that a commodity tax on goods like food and shelter is sometimes seenas being regressive?3. What types of goods might have demand curves that are vertical, and why?Answers to CHAPTER 12 - Taxation and Income Distribution Answers to Multiple-Choice Questions1. c2. a3. e4. b5. d6. d7. b8. a9. a10. b11. e12. b13. c14. b15. cAnswers to Discussion Questions1. a) X* = 153, P* = $466, π = $58522.5b) X* = 152.8, P* = $466.4, π = $58,369.6, Tax Rev. = $152.8c) X* = 152.8, P* = $465.4, π = $58,369.6, Tax Rev. = $152.8d) The tax revenue generated is the same, whether it is levied on the buyers or sellers.2. a) Setting before-tax demand equal to supply gives X* = 24, with P* = $50.b) The after-tax demand curve is now P = 95 –2X. Setting the after-tax demandcurve equal to supply gives X* = 23 ?.c) Tax revenue is the after-tax equilibrium quantity multiplied by the tax rate.Therefore, 3(23 ?) = 69 ?.3. The after-tax consumer price is now $51.5. The after-tax producer price is now $48.5.The before-tax price was $50. The economic incidence for consumers is 1.5(23.25) = $34.875. For producers, it is 1.5(23.25) = $34.875.4. The economic incidence of the tax is paid entirely by thesuppliers.5. a) Setting supply equal to demand and solving yields P* = $38.4 and X* = 17.2.b) The after-tax demand curve is now P = 74 –3X. Setting after-tax demand equal tosupply yields X* = 14, P* = $32 for suppliers, and P* = $48 for consumers. Tax revenue is $224.c) Setting the given after-tax demand equal to supply yields P* = $32 for suppliersand P* = $48 for consumers. Tax revenue is $224.d) The tax revenue and prices are the same using either taxing scheme.Answers to True/False/Uncertain Questions1. T2. U3. T4. T5. F6. T7. U8. F9. T10. TAnswers to Essay Questions1. Elasticities play a key role in determining exactly how much of a tax is borne byconsumers and producers.2. Items like food and shelter require a larger percentage of discretionary income for thosein the lower income brackets than for those in higherbrackets.3. A demand curve that is vertical is one that is perfectly inelastic. This means that changesin the price do not affect the quantity demanded. Examples of this are certain medical supplies and, to a lesser extent, cigarettes, which have demand curves that are nearly inelastic.。
《政府会计英文》PPT课件
Religious: YMCA, YWCA, Salvation Army, and churchrelated organizations
Environment & Characteristics
Chapter 1
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1
Welcome
Contrary to what you may have heard, governmental and nonprofit accounting is not a “whole new ball game”
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8
Sources of Financial Resources
Businesses raise resources from sales or from capital stock & debt transactions – must account for different sources separately Governments raise resources from sales or debt transactions – typically no distinction made in sources
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2
Learning Objectives
Unique characteristics Types of G&NP organizations Similarities & differences between profit-seeking and G&NP organizations Characteristics, concepts, & objectives of GNP accounting & financial reporting Users and uses of financial information Determining what GAAP to apply GAAP hierarchy
国际公共部门会计准则12号(IPSAS 12)
IPSAS 12—INVENTORIESAcknowledgmentThis International Public Sector Accounting Standard (IPSAS) is drawn primarily from International Accounting Standard (IAS) 2 (Revised 2003), Inventories, published by the International Accounting Standards Board (IASB). Extracts from IAS 2 are reproduced in this publication of the International Public Sector Accounting Standards Board (IPSASB) of the International Federation of Accountants (IFAC) with the permission of the International Financial Reporting Standards (IFRS) Foundation.The approved text of the International Financial Reporting Standards (IFRSs) is that published by the IASB in the English language, and copies may be obtained directly from IFRS Publications Department, First Floor, 30 Cannon Street, London EC4M 6XH, United Kingdom.E-mail: publications@Internet: IFRSs, IASs, Exposure Drafts, and other publications of the IASB are copyright of the IFRS Foundation.“IFRS,” “IAS,” “IASB,” “IFRS Foundation,” “International Accounting Standards,” and “International Financial Reporting Standards” are trademarks of the IFRS Foundation and should not be used without the approval of the IFRS Foundation.IPSAS 12—INVENTORIESHistory of IPSASThis version includes amendments resulting from IPSASs issued up to January 15, 2013.IPSAS 12, Inventories was issued in July 2001.In December 2006 the IPSASB issued a revised IPSAS 12.Since then, IPSAS 12 has been amended by the following IPSASs:∙Improvements to IPSASs 2011 (issued October 2011)∙IPSAS 27, Agriculture (issued December 2009)∙Improvements to IPSASs (issued November 2010)Table of Amended Paragraphs in IPSAS 12Paragraph Affected How Affected Affected ByIntroduction section Deleted Improvements to IPSASsOctober 20112 Amended IPSAS 27 December 2009IPSAS 29 January 201015 Amended Improvements to IPSASsNovember 201029 Amended IPSAS 27 December 200933 Amended Improvements to IPSASsNovember 2010 51A New IPSAS 27 December 2009December 2006IPSAS 12—INVENTORIESCONTENTSParagraph Objective (1)Scope ................................................................................................... 2–8 Definitions ........................................................................................... 9–14 Net Realizable Value (10)Inventories .................................................................................... 11–14 Measurement of Inventories ................................................................. 15–43 Cost of Inventories ........................................................................ 18–31 Costs of Purchase . (19)Costs of Conversion ................................................................ 20–23Other Costs ............................................................................. 24–27Cost of Inventories of a Service Provider (28)Cost of Agricultural Produce Harvested from Biological Assets 29Techniques for the Measurement of Cost ................................. 30–31 Cost Formulas ............................................................................... 32–37 Net Realizable Value ..................................................................... 38–42 Distributing Goods at No Charge or for a Nominal Charge . (43)Recognition as an Expense ................................................................... 44–46 Disclosure ............................................................................................ 47–50 Effective Date ...................................................................................... 51–52 Withdrawal of IPSAS 12 (2001) .. (53)Basis for ConclusionsComparison with IAS 2INVENTORIESInternational Public Sector Accounting Standard 12, Inventories, is set out in paragraphs 1–53. All the paragraphs have equal authority. IPSAS 12 should be read in the context of its objective, the Basis for Conclusions, and the Preface to International Public Sector Accounting Standards. IPSAS 3, Accounting Policies, Changes in Accounting Estimates and Errors, provides a basis for selecting and applying accounting policies in the absence of explicit guidance.INVENTORIESObjective1.The objective of this Standard is to prescribe the accounting treatment forinventories. A primary issue in accounting for inventories is the amount ofcost to be recognized as an asset and carried forward until the relatedrevenues are recognized. This Standard provides guidance on thedetermination of cost and its subsequent recognition as an expense,including any write-down to net realizable value. It also provides guidanceon the cost formulas that are used to assign costs to inventories.Scope2.An entity that prepares and presents financial statements under theaccrual basis of accounting shall apply this Standard in accounting forall inventories except:(a)Work-in-progress arising under construction contracts,including directly related service contracts (see IPSAS 11,Construction Contracts);(b)Financial instruments (see IPSAS 28, Financial Instruments:Presentation and IPSAS 29, Financial Instruments: Recognitionand Measurement);(c)Biological assets related to agricultural activity and agriculturalproduce at the point of harvest (see IPSAS 27, Agriculture); and(d)Work-in-progress of services to be provided for no or nominalconsideration directly in return from the recipients.3.This Standard does not apply to the measurement of inventories heldby:(a)Producers of agricultural and forest products, agriculturalproduce after harvest, and minerals and mineral products, tothe extent that they are measured at net realizable value inaccordance with well-established practices in those industries.When such inventories are measured at net realizable value,changes in that value are recognized in surplus or deficit in theperiod of the change; and(b)Commodity broker-traders who measure their inventories atfair value less costs to sell. When such inventories are measuredat fair value less costs to sell, changes in fair value less costs tosell are recognized in surplus or deficit in the period of thechange.4.This Standard applies to all public sector entities other thanGovernment Business Enterprises.INVENTORIES5.The Preface to International Public Sector Accounting Standards issued bythe IPSASB explains that Government Business Enterprises (GBEs) applyIFRSs issued by the IASB. GBEs are defined in IPSAS 1, Presentation ofFinancial Statements.6.The inventories referred to in paragraph 2(d) are not encompassed byIAS 2, Inventories, and are excluded from the scope of this Standardbecause they involve specific public sector issues that require furtherconsideration.7.The inventories referred to in paragraph 3(a) are measured at net realizablevalue at certain stages of production. This occurs, for example, (a) whenagricultural crops have been harvested or minerals have been extracted andsale is assured under a forward contract or a government guarantee, or (b)when an active market exists and there is a negligible risk of failure to sell.These inventories are excluded only from the measurement requirements ofthis Standard.8.Broker-traders are those who buy or sell commodities for others or on theirown account. The inventories referred to in paragraph 3(b) are principallyacquired with the purpose of selling in the near future and generating asurplus from fluctuations in price or broker-traders’ margin. When theseinventories are measured at fair value less costs to sell, they are excludedonly from the measurement requirements of this Standard.Definitions9.The following terms are used in this Standard with the meaningsspecified:Current replacement cost is the cost the entity would incur to acquirethe asset on the reporting date.Inventories are assets:(a)In the form of materials or supplies to be consumed in theproduction process;(b)In the form of materials or supplies to be consumed ordistributed in the rendering of services;(c)Held for sale or distribution in the ordinary course ofoperations; or(d)In the process of production for sale or distribution.Net realizable value is the estimated selling price in the ordinary courseof operations, less the estimated costs of completion and the estimatedcosts necessary to make the sale, exchange, or distribution.INVENTORIESTerms defined in other IPSASs are used in this Standard with the samemeaning as in those Standards, and are reproduced in the Glossary ofDefined Terms published separately.Net Realizable Value realizable value refers to the net amount that an entity expects to realizefrom the sale of inventory in the ordinary course of operations. Fair valuereflects the amount for which the same inventory could be exchangedbetween knowledgeable and willing buyers and sellers in the marketplace.The former is an entity-specific value; the latter is not. Net realizable valuefor inventories may not equal fair value less costs to sell.Inventories11.Inventories encompass goods purchased and held for resale including, forexample, merchandise purchased by an entity and held for resale, or landand other property held for sale. Inventories also encompass finished goodsproduced, or work-in-progress being produced, by the entity. Inventoriesalso include (a) materials and supplies awaiting use in the productionprocess, and (b) goods purchased or produced by an entity, which are fordistribution to other parties for no charge or for a nominal charge, forexample, educational books produced by a health authority for donation toschools. In many public sector entities, inventories will relate to theprovision of services rather than goods purchased and held for resale orgoods manufactured for sale. In the case of a service provider, inventoriesinclude the costs of the service, as described in paragraph 28, for which theentity has not yet recognized the related revenue (guidance on recognitionof revenue can be found in IPSAS 9, Revenue from ExchangeTransactions.)12.Inventories in the public sector may include:(a)Ammunition;(b)Consumable stores;(c)Maintenance materials;(d)Spare parts for plant and equipment, other than those dealt with instandards on Property, Plant and Equipment;(e)Strategic stockpiles (for example, energy reserves);(f)Stocks of unissued currency;(g)Postal service supplies held for sale (for example, stamps);(h)Work-in-progress, including:(i)Educational/training course materials; andINVENTORIES(ii)Client services (for example, auditing services), where thoseservices are sold at arm’s length prices; and(i)Land/property held for sale.13.Where the government controls the rights to create and issue various assets,including postal stamps and currency, these items of inventory arerecognized as inventories for the purposes of this Standard. They are notreported at face value, but measured in accordance with paragraph 15, thatis, at their printing or minting cost.14.When a government maintains strategic stockpiles of various reserves, suchas energy reserves (for example, oil), for use in emergency or othersituations (for example, natural disasters or other civil defenseemergencies), these stockpiles are recognized as inventories for thepurposes of this Standard and treated accordingly.Measurement of Inventories15.Inventories shall be measured at the lower of cost and net realizablevalue, except where paragraph 16 or paragraph 17 applies.16.Where inventories are acquired through a non-exchange transaction,their cost shall be measured at their fair value as at the date ofacquisition.17.Inventories shall be measured at the lower of cost and currentreplacement cost where they are held for:(a)Distribution at no charge or for a nominal charge; or(b)Consumption in the production process of goods to bedistributed at no charge or for a nominal charge.Cost of Inventories18.The cost of inventories shall comprise all costs of purchase, costs ofconversion, and other costs incurred in bringing the inventories to theirpresent location and condition.Costs of Purchase19.The costs of purchase of inventories comprise (a) the purchase price, (b)import duties and other taxes (other than those subsequently recoverable bythe entity from the taxing authorities), and (c) transport, handling, and othercosts directly attributable to the acquisition of finished goods, materials,and supplies. Trade discounts, rebates, and other similar items are deductedin determining the costs of purchase.INVENTORIESCosts of Conversion20.The costs of converting work-in-progress inventories into finished goodsinventories are incurred primarily in a manufacturing environment. Thecosts of conversion of inventories include costs directly related to the unitsof production, such as direct labor. They also include a systematicallocation of fixed and variable production overheads that are incurred inconverting materials into finished goods. Fixed production overheads arethose indirect costs of production that remain relatively constant regardlessof (a) the volume of production, such as depreciation and maintenance offactory buildings and equipment, and (b) the cost of factory managementand administration. Variable production overheads are those indirect costsof production that vary directly, or nearly directly, with the volume ofproduction, such as indirect materials and indirect labor.21.The allocation of fixed production overheads to the costs of conversion isbased on the normal capacity of the production facilities. Normal capacityis the production expected to be achieved on average over a number ofperiods or seasons under normal circumstances, taking into account the lossof capacity resulting from planned maintenance. The actual level ofproduction may be used if it approximates normal capacity. The amount offixed overhead allocated to each unit of production is not increased as aconsequence of low production or idle plant. Unallocated overheads arerecognized as an expense in the period in which they are incurred. Inperiods of abnormally high production, the amount of fixed overheadallocated to each unit of production is decreased, so that inventories are notmeasured above cost. Variable production overheads are allocated to eachunit of production on the basis of the actual use of the production facilities.22.For example, the allocation of costs, both fixed and variable, incurred in thedevelopment of undeveloped land held for sale into residential orcommercial landholdings could include costs relating to landscaping,drainage, pipe laying for utility connection, etc.23. A production process may result in more than one product being producedsimultaneously. This is the case, for example, when joint products areproduced or when there is a main product and a by-product. When the costsof conversion of each product are not separately identifiable, they areallocated between the products on a rational and consistent basis. Theallocation may be based, for example, on the relative sales value of eachproduct either at the stage in the production process when the productsbecome separately identifiable, or at the completion of production. Mostby-products, by their nature, are immaterial. When this is the case, they areoften measured at net realizable value, and this value is deducted from thecost of the main product. As a result, the carrying amount of the mainproduct is not materially different from its cost.INVENTORIESOther Costs24.Other costs are included in the cost of inventories only to the extent thatthey are incurred in bringing the inventories to their present location andcondition. For example, it may be appropriate to include non-productionoverheads or the costs of designing products for specific customers in thecost of inventories.25.Examples of costs excluded from the cost of inventories and recognized asexpenses in the period in which they are incurred are:(a)Abnormal amounts of wasted materials, labor, or other productioncosts;(b)Storage costs, unless those costs are necessary in the productionprocess before a further production stage;(c)Administrative overheads that do not contribute to bringinginventories to their present location and condition; and(d)Selling costs.26.IPSAS 5, Borrowing Costs, identifies limited circumstances whereborrowing costs are included in the cost of inventories.27.An entity may purchase inventories on deferred settlement terms. When thearrangement effectively contains a financing element, that element, forexample a difference between the purchase price for normal credit termsand the amount paid, is recognized as interest expense over the period ofthe financing.Cost of Inventories of a Service Provider28.To the extent that service providers have inventories (except those referredto in paragraph 2(d)), they measure them at the costs of their production.These costs consist primarily of the labor and other costs of personneldirectly engaged in providing the service, including supervisory personneland attributable overheads. The costs of labor not engaged in providing theservice are not included. Labor and other costs relating to sales and generaladministrative personnel are not included, but are recognized as expenses inthe period in which they are incurred. The cost of inventories of a serviceprovider does not include surplus margins or non-attributable overheadsthat are often factored into prices charged by service providers.Cost of Agricultural Produce Harvested from Biological Assets29.In accordance with IPSAS 27, inventories comprising agricultural producethat an entity has harvested from its biological assets shall be measured oninitial recognition at their fair value less costs to sell at the point of harvest.This is the cost of the inventories at that date for application of thisStandard.Techniques for the Measurement of Cost30.Techniques for the measurement of the cost of inventories, such as thestandard cost method or the retail method, may be used for convenience ifthe results approximate cost. Standard costs take into account normal levelsof materials and supplies, labor, efficiency, and capacity utilization. Theyare regularly reviewed and, if necessary, revised in the light of currentconditions.31.Inventories may be transferred to the entity by means of a non-exchangetransaction. For example, an international aid agency may donate medicalsupplies to a public hospital in the aftermath of a natural disaster. Undersuch circumstances, the cost of inventory is its fair value as at the date it isacquired.Cost Formulas32.The cost of inventories of items that are not ordinarily interchangeable,and goods or services produced and segregated for specific projects,shall be assigned by using specific identification of their individualcosts.33.Specific identification of costs means that specific costs are attributed toidentified items of inventory. This is an appropriate treatment for items thatare segregated for a specific project, regardless of whether they have beenbought or produced. However, specific identification of costs isinappropriate when there are large numbers of items of inventory that areordinarily interchangeable. In such circumstances, the method of selectingthose items that remain in inventories could be used to obtainpredetermined effects on the surplus or deficit for the period.34.When applying paragraph 33 an entity shall use the same cost formulafor all inventories having similar nature and use to the entity. Forinventories with different nature or use (for example, certaincommodities used in one segment and the same type of commoditiesused in another segment), different cost formulas may be justified. Adifference in geographical location of inventories (and in the respectivetax rules), by itself, is not sufficient to justify the use of different costformulas.35.The cost of inventories, other than those dealt with in paragraph 32,shall be assigned by using the first-in, first-out (FIFO) or weightedaverage cost formulas. An entity shall use the same cost formula for allinventories having a similar nature and use to the entity. For379IPSAS 12inventories with a different nature or use, different cost formulas maybe justified.36.For example, inventories used in one segment may have a use to the entitydifferent from the same type of inventories used in another segment.However, a difference in geographical location of inventories, by itself, isnot sufficient to justify the use of different cost formulas.37.The FIFO formula assumes that the items of inventory that were purchasedfirst are sold first, and consequently the items remaining in inventory at theend of the period are those most recently purchased or produced. Under theweighted average cost formula, the cost of each item is determined fromthe weighted average of the cost of similar items at the beginning of aperiod, and the cost of similar items purchased or produced during theperiod. The average may be calculated on a periodic basis, or as eachadditional shipment is received, depending upon the circumstances of theentity.Net Realizable Value38.The cost of inventories may not be recoverable if those inventories aredamaged, if they have become wholly or partially obsolete, or if theirselling prices have declined. The cost of inventories may also not berecoverable if the estimated costs of completion or the estimated costs to beincurred to make the sale, exchange, or distribution have increased. Thepractice of writing inventories down below cost to net realizable value isconsistent with the view that assets are not to be carried in excess of thefuture economic benefits or service potential expected to be realized fromtheir sale, exchange, distribution, or use.39.Inventories are usually written down to net realizable value on an item byitem basis. In some circumstances, however, it may be appropriate to groupsimilar or related items. This may be the case with items of inventory thathave similar purposes or end uses, and cannot practicably be evaluatedseparately from other items in that product line. It is not appropriate towrite down inventories based on a classification of inventory, for example,finished goods, or all the inventories in a particular operation orgeographical segment. Service providers generally accumulate costs inrespect of each service for which a separate selling price is charged.Therefore, each such service is treated as a separate item.40.Estimates of net realizable value also take into consideration the purposefor which the inventory is held. For example, the net realizable value of thequantity of inventory held to satisfy firm sales or service contracts is basedon the contract price. If the sales contracts are for less than the inventoryquantities held, the net realizable value of the excess is based on generalselling prices. Guidance on the treatment of provisions or contingent IPSAS 12 380liabilities, such as those arising from firm sales contracts in excess ofinventory quantities held, and on firm purchase contracts can be found inIPSAS 19, Provisions, Contingent Liabilities and Contingent Assets.41.Materials and other supplies held for use in the production of inventoriesare not written down below cost if the finished products in which they willbe incorporated are expected to be sold, exchanged, or distributed at orabove cost. However, when a decline in the price of materials indicates thatthe cost of the finished products exceeds net realizable value, the materialsare written down to net realizable value. In such circumstances, thereplacement cost of the materials may be the best available measure of theirnet realizable value.42. A new assessment is made of net realizable value in each subsequentperiod. When the circumstances that previously caused inventories to bewritten down below cost no longer exist, or when there is clear evidence ofan increase in net realizable value because of changed economiccircumstances, the amount of the write-down is reversed (i.e., the reversalis limited to the amount of the original write-down) so that the newcarrying amount is the lower of the cost and the revised net realizablevalue. This occurs, for example, when an item of inventory that is carried atnet realizable value because its selling price has declined, is still on hand ina subsequent period and its selling price has increased.Distributing Goods at No Charge or for a Nominal Charge43. A public sector entity may hold inventories whose future economic benefitsor service potential are not directly related to their ability to generate netcash inflows. These types of inventories may arise when a government hasdetermined to distribute certain goods at no charge or for a nominalamount. In these cases, the future economic benefits or service potential ofthe inventory for financial reporting purposes is reflected by the amount theentity would need to pay to acquire the economic benefits or servicepotential if this was necessary to achieve the objectives of the entity. Wherethe economic benefits or service potential cannot be acquired in the market,an estimate of replacement cost will need to be made. If the purpose forwhich the inventory is held changes, then the inventory is valued using theprovisions of paragraph 15.Recognition as an Expense44.When inventories are sold, exchanged, or distributed, the carryingamount of those inventories shall be recognized as an expense in theperiod in which the related revenue is recognized. If there is no relatedrevenue, the expense is recognized when the goods are distributed orthe related service is rendered. The amount of any write-down ofinventories and all losses of inventories shall be recognized as an381IPSAS 12expense in the period the write-down or loss occurs. The amount of anyreversal of any write-down of inventories shall be recognized as areduction in the amount of inventories recognized as an expense in theperiod in which the reversal occurs.45.For a service provider, the point when inventories are recognized asexpenses normally occurs when services are rendered, or upon billing forchargeable services.46.Some inventories may be allocated to other asset accounts, for example,inventory used as a component of self-constructed property, plant, orequipment. Inventories allocated to another asset in this way are recognizedas an expense during the useful life of that asset.Disclosure47.The financial statements shall disclose:(a)The accounting policies adopted in measuring inventories,including the cost formula used;(b)The total carrying amount of inventories and the carryingamount in classifications appropriate to the entity;(c)The carrying amount of inventories carried at fair value lesscosts to sell;(d)The amount of inventories recognized as an expense during theperiod;(e)The amount of any write-down of inventories recognized as anexpense in the period in accordance with paragraph 42;(f)The amount of any reversal of any write-down that isrecognized in the statement of financial performance in theperiod in accordance with paragraph 42;(g)The circumstances or events that led to the reversal of a write-down of inventories in accordance with paragraph 42; and(h)The carrying amount of inventories pledged as security forliabilities.rmation about the carrying amounts held in different classifications ofinventories and the extent of the changes in these assets is useful tofinancial statement users. Common classifications of inventories aremerchandise, production supplies, materials, work-in-progress, and finishedgoods. The inventories of a service provider may be described as work-in-progress.IPSAS 12 382。
国际经济学第七课2019-精选
12-10
Fig. 12-2: U.S. Current Account and Net Foreign Wealth, 1976–2019
Source: U.S. Department of Commerce, Bureau of Economic Analysis, June 2019 release
Copyright © 2009 Pearson Addison-Wesley. All rights reserved.
12-13
How Is the Current Account Related to National Saving? (cont.)
CA = S – I
or
I = S – CA
• Gross domestic product measures the final value of all goods and services that are produced within a country in a given time period.
• GDP = GNP – payments from foreign countries for factors of production + payments to foreign countries for factors of production
goods and services 4. Current account balance (exports minus imports): net
expenditure by foreigners on domestic goods and services
Copyright © 2009 Pearson Addison-Wesley. All rights reserved.
财务会计英文版课后习题答案Ch12
CHAPTER 12 DISCUSSION QUESTIONS1.There are several reasons for a firm to makeinvestments in assets not directly related to the primary operations of its business (that is, investments in assets other than property, plant, equipment, and inventory). Companies usually make short-term investments be-cause of a temporary surplus of cash. They make long-term investments either because they believe that purchased investments provide a good return on money invested or because they want to gain influ-ence or control over investee companies.2.The risk and return trade-off of investmentsis that investors must usually decide whether they want a potentially higher return with more risk or a lower return with less risk.Most investments fall somewhere along a risk-return continuum. Investments that pro-vide high returns but have low risk are desir-able, but rare.3.The FASB has defined four different classifi-cations for debt and equity securities: trading securities, available-for-sale securities, held-to-maturity securities, and equity method se-curities.4. A security will be classified as trading if theinvestor is making the investment with the intent of selling the security should the need for cash arise, or to realize short-term profits should the price of the security increase.5. A security will be classified as held-to-maturity if the investor intends to hold the security until it matures. This criterion means that only debt securities can be classified as held-to-maturity, as equity securities typically do not mature. If a debt security is classified as held-to-maturity, any premium or discount associated with the security must be amor-tized over the life of the debt security.6.To be classified as an equity method securi-ty, an investor must typically own between20 and 50% of the outstanding commonstock of the investee. Ownership of between20 and 50% generally indicates the ability ofthe investor to significantly influence the operations and decisions of the investee.7.When an investor purchases debt and equitysecurities, two types of returns may be rea-lized. The first type of return is the receipt ofinterest (in the case of debt) or dividends (inthe case of equity). The second type of re-turn is from an increase in the price of thesecurity. To realize this type of return, the in-vestor must sell the security.8.When a security is sold, the seller must haveseveral pieces of information to properly ac-count for the transaction. The seller mustknow the selling price as well as the histori-cal cost of the security. The differencebetween these two amounts results in a rea-lized gain or loss on the sale.9.The difference between a realized gain orloss and an unrealized gain or loss relates tothe account ing concept of arm’s-lengthtransactions. The term ―realized‖ indicatesthat an arm’s-length transaction has takenplace and a security has been sold. A rea-lized gain indicates that the security was soldfor more than its historical cost, while a rea-lized loss means that the security was soldfor less than its original purchase price. Anunrealized gain means that the price of thesecurity being held has increased above itshistorical cost, but the security has not beensold. If the security is still being held and theprice falls below its historical cost, an unrea-lized loss has occurred.10.The account ―Market Adjustment‖ is used tovalue both trading and available-for-sale se-curities at their market value. Trading andavailable-for-sale securities are initiallyrecorded at their historical cost, and as theirvalue changes, the historical cost remainsthe same on the books. To reflect marketvalues on the books, the market adjustmentaccount is used to record both increasesand decreases in value. A separate marketadjustment account is used for both tradingand available-for-sale securities.11.Changes in the value of trading securities,both increases and decreases, are recordedon the books of the investor. Prior to 1994,only declines below historical cost wererecorded on the books. In 1994, however,434Chapter 12the rules were changed to allow companiesto record both increases and decreases invalue. At the end of each accounting period,the market value of the portfolio of tradingsecurities is compared to its historical cost,and the difference is recorded in the marketadjustment account. The offsetting credit (inthe case of increases in value) or debit (inthe case of decreases in value) is recordedin an income statement account as an un-realized gain or loss.12.Accounting for changes in the value ofavailable-for-sale securities is similar to theprocedures applied when accounting fortrading securities with one important differ-ence. Instead of recording any unrealizedincreases or decreases in value on theincome statement, unrealized increasesand decreases in value are recorded in astockholders’ equity account, UnrealizedIncrease/Decrease in Value of Available-for-Sale Securities—Equity. Thus, the journalentry to record unrealized changes in valuealways contains the stockholders’ equity a c-count and the market adjustment—available-for-sale securities account.13.The market adjustment account can befurther adjusted; however, the adjustmentaccount should always report the total netchange in the value of the security. For ex-ample, if a security that cost $200 rose invalue to $300 during the first period and thento $350 during the second period, the mar-ket adjustment account would show a bal-ance of $150 at the end of the second period. 14.Premiums and discounts on available-for-sale securities are not amortized because itis assumed that trading and available-for-sale securities will not be held long enoughto warrant the need to amortize a premiumor discount.15.Changes in the value of held-to-maturity andequity method securities are not accountedfor on the books of the investor. For held-to-maturity securities, the investor intends tohold the debt security until it matures, and asa result, changes in value will not affectthe eventual maturity value of the security.For equity method securities, the investoris holding the security for the purpose ofbeing able to influence the operating deci-sions of the investee on a long-term basis.Thus, temporary changes in value of equitymethod securities are ignored for accountingpurposes.16.The only difference between the accountingfor trading securities and available-for-salesecurities lies in unrealized changes in valueof those securities. For trading securities,the changes in value are recorded on the in-come statement. For available-for-sale se-curities, the unrealized changes in value arerecorded in a stockholders’ equity a ccount. 17.*When buying a held-to-maturity security, aninvestor purchases the right to receive twodifferent types of future cash receipts. First,the investor receives periodic interest pay-ments over the life of the security; second,the investor receives the face amount (prin-cipal) of the security at maturity.18.* A company would usually be willing to paymore than the face amount (a premium) fora held-to-maturity security when the interestrate on the security is higher than the marketrate of interest for similar investments. Thepaying of a higher price reduces the statedrate of interest to a point where it approx-imates the market rate of interest.19.*The amortization of a discount increases theamount earned on a held-to-maturity securitybecause at maturity investors receive theface value, which is higher than the amountoriginally paid. These increased proceedsmust be recognized over the life of the secu-rity through amortization. The amortization ofa discount increases interest from a statedrate to a higher effective rate.20.*An investor purchasing held-to-maturitysecurities (typically bonds) between interestdates must pay for accrued interest becauseat the next interest payment date a fullpe riod’s interest will be received, eventhough the securities have been held for onlya portion of the period. Because the securi-ties are sold in relatively small denomina-tions and are usually owned by numerousindividuals, it is almost impossible for acompany to know who bought how manybonds on which dates. Therefore, with manyheld-to-maturity securities, whoever ownsthe securities on the interest payment datereceives the full period’s i nterest.*Relates to expanded material.Chapter 12 43521.*The effective-interest amortization method istheoretically superior to the straight-lineamortization method because it takes intoconsideration the time value of money. Withthe effective-interest method, the amount ofinterest recognized is the effective interestrate times the amount of money actuallybeing borrowed at any period of time. Thestraight-line method is only an approximationof the true rate of interest.22.*The key criterion for using the equity methodis the ability of the investor to influence theoperations or decisions of the investee.23.*The accounting profession has providedguidelines to determine if the ability tosignificantly influence the operating deci-sions of an investee exists. The primaryguideline is degree of ownership. If the in-vestor owns between 20 and 50% of a cor-poration’s outstanding common stock, it isassumed that the investor is able to signifi-cantly influence the investee. Thus, unlessevidence exists to the contrary, ownership ofbetween 20 and 50% would require the useof the equity method.24.* When an investor purchases a trading secu-rity, revenue is recognized when interest ordividends are received. A gain or loss (un-re alized) is recorded when the security’sprice changes in value. For an investmentaccounted for under the equity method, rev-enue is recognized when the investee re-ports income for the period. This recognitionserves to increase the investment ac-count. The investment account is decreasedwhen dividends are received from the inves-tee. Unlike trading securities, temporarychanges in the value of equity method secur-ities are not recorded on the investor’sbooks.25.* Consolidated financial statements are pre-pared when a corporation owns more than50% of the stock of another company (acontrolling interest).26.* In the consolidated balance sheet, minorityinterest is the amount of equity investmentmade by outside shareholders to consolidat-ed subsidiaries that are not 100% owned bythe parent. In the consolidated incomestatement, minority interest income (shownas a subtraction) reflects the amount ofincome belonging to outside shareholders ofconsolidated subsidiaries that are not 100%owned.*Relates to expanded material.436Chapter 12PRACTICE EXERCISESPE 12–1 (LO1) Why Companies Invest in Other CompaniesThe correct answer is B.a. True. Most cases of companies investing in other companies are to investexcess cash.b. False. Investing in other companies will not necessarily eliminate risk in oth-er investments.c. True. By investing in other companies, the investing company can gain in-fluence over the operations of another company.d. True. When one company owns a significant portion of another company,the owner company can essentially control the operations of the owned company.PE 12–2 (LO2) Classifying a SecurityThe correct answer is C. Held-to-maturity securities are always considered debt securities. Trading and available-for-sale securities can sometimes be consi-dered debt securities. True to their name, equity method securities are always considered equity securities.PE 12–3 (LO2) Equity Method SecuritiesThe correct answer is A. An entity is presumed to have significant influence upon the operations of another company when it owns 20 to 50% of the outstanding voting stock.PE 12–4 (LO2) Disclosure of SecuritiesThe correct answers are A and C. Equity method securities are valued at cost ad-justed for changes in the net assets of the investee. Held-to-maturity securities are valued at amortized cost.PE 12–5 (LO3) Accounting for the Purchase of Trading and Available-for-Sale SecuritiesInvestment in Trading Securities ................................................... 65,400 Investment in Available-for-Sale Securities .................................. 79,600 Cash ............................................................................................ 145,000 Purchased various securities.Chapter 12 437 PE 12–6 (LO3) Accounting for the Return Earned on an InvestmentCash ................................................................................................. 1,359 Interest Revenue (459)Dividend Revenue (900)To record interest and dividends earned on securities.PE 12–7 (LO3) Accounting for the Sale of SecuritiesCash ................................................................................................. 25,200 Realized Loss on Sale of Trading Securities ................................ 2,800 Investment in Trading Securities ............................................. 28,000 To record the sale of Security 1 with original cost of$28,000 for $25,200.PE 12–8 (LO4) Changes in Value of Trading SecuritiesMarket Adjustment—Trading Securities (750)Unrealized Gain on Trading Securities—Income (750)To recognize the increase in value of the trading security($24,250 – $23,500 = $750).PE 12–9 (LO4) Changes in Value of Available-for-Sale SecuritiesUnrealized Increase/Decrease in Value of Available-for-SaleSecurities—Equity (400)Market Adjustment—Available-for-Sale Securities (400)To record net change in value of available-for-sale securities(Security 1 increased in value by $400, and Security 2 de-clined in value by $800).PE 12–10 (LO4) Subsequent Changes in Value of Trading Securities Unrealized Loss on Trading Securities—Income ......................... 1,900 Market Adjustment—Trading Securities .................................. 1,900 To adjust the market adjustment account to requiredending balance.Once this entry is posted, Market Adjustment—Trading Securities will have the required $800 credit balance as follows:438Chapter 12 PE 12–11 (LO5) Computing the Value of Held-to-Maturity Securities*First, we must compute the present value of the bonds as follows:Quarterly interest payment ($30,000 ⨯ 0.08 ⨯ ¼) ............... $ 600Present value of an annuity of 16 payments of $1 at 3%(Table II) ........................................................................... ⨯ 12.5611Present value of interest payments .................................... $ 7,537 Principal (face value) of bonds ........................................... $ 30,000Present value of $1 received 16 periods in the futurediscounted at 3% (Table I) .............................................. ⨯ 0.6232Present value of principal .................................................... 18,696 Total present value of investment ...................................... $26,233The value of the bonds can also be computed using a business calculator as follows:a. CLEAR ALL.b. Set P/YR to 1.1. 30,000 Press FV.2. 600 Press PMT.3. 16 Press N.4. 3 Press I/YR.5. Press PV for the answer of $26,231.67.PE 12–12 (LO5) Accounting for the Initial Purchase of Held-to-MaturitySecurities*The journal entry to record the purchase of this security is as follows:Investment in Held-to-Maturity Securities .......................... 26,233 Cash .............................................................................. 26,233 PE 12–13 (LO5) Straight-Line Amortization of Bond Discounts*The company will record a bond discount amortization of $676.83 ($40,000 –$35,939 = $4,061; $4,061/3 years ⨯ ½ = $676.83) on each date. Every six months, the company will make the following entry:Cash ...................................................................................... 2,000.00Investment in Held-to-Maturity Securities .......................... 676.83 Bond Interest Revenue ................................................ 2,676.83 Received semiannual bond interest and amortizedbond discount.*Relates to expanded material.Chapter 12 439 PE 12–14 (LO5) Straight-Line Amortization of Bond Premiums*The company will record a bond premium amortization of $567.90 ($68,407.39 –$65,000.00 = $3,407.39; $3,407.39/3 years ⨯ ½ = $567.90) on each date. Every six months, the company will make the following entry:Cash ...................................................................................... 3,250.00 Investment in Held-to-Maturity Securities .................. 567.90 Bond Interest Revenue ................................................ 2,682.10 PE 12–15 (LO5) Effective-Interest Amortization of Bond Premiums*The first step is to compute the market rate on bonds of similar risk as follows:a. CLEAR ALL.b. Set P/YR to 1.1. 65,000 Press FV.2. -68,407.39 Press PV.3. 3,250 Press PMT.4. 6 Press N.5. Press I/YR for the answer of 4%.The market interest rate of 4% is the semiannual rate, so the annual rate is 8%. The following amortization table shows the amount of interest earned and the amount of amortization for each period.InterestActually Earned(0.08 ⨯ ½ ⨯Cash Investment Amount of Investment Time Period Received Balance) Amortization Balance Acquisition date $68,407.39 Year 1, first six months $3,250 $2,736.30 $513.70 67,893.69 Year 1, second six months 3,250 2,715.75 534.25 67,359.44 Year 2, first six months 3,250 2,694.38 555.62 66,803.82 Year 2, second six months 3,250 2,672.15 577.85 66,225.97 Year 3, first six months 3,250 2,649.04 600.96 65,625.01 Year 3, second six months 3,250 2,624.99 625.01 65,000.00 Using the above amortization schedule, the journal entry for the first interest payment received is as follows:Cash ...................................................................................... 3,250.00 Investment in Held-to-Maturity Securities .................. 513.70 Bond Interest Revenue ................................................ 2,736.30 *Relates to expanded material.440Chapter 12 PE 12–15* (LO5) (Concluded)Using the above amortization schedule, the journal entry for the second interest payment received is as follows:Cash ...................................................................................... 3,250.00 Investment in Held-to-Maturity Securities .................. 534.25 Bond Interest Revenue ................................................ 2,715.75 PE 12–16 (LO5) Accounting for the Sale of Bond Investments*Cash ...................................................................................... 67,000.00Loss on Sale of Bonds......................................................... 359.44 Investment in Held-to-Maturity Bonds ........................ 67,359.44 Sold held-to-maturity bonds for $67,359.44.The following table shows the book value of the investment at the end of the first year (after the second interest payment) is $67,359.44.InterestActually Earned(0.08 ⨯ ½ ⨯Cash Investment Amount of Investment Time Period Received Balance) Amortization Balance Acquisition date $68,407.39 Year 1, first six months $3,250 $2,736.30 $513.70 67,893.69 Year 1, second six months 3,250 2,715.75 534.25 67,359.44 Year 2, first six months 3,250 2,694.38 555.62 66,803.82 Year 2, second six months 3,250 2,672.15 577.85 66,225.97 Year 3, first six months 3,250 2,649.04 600.96 65,625.01 Year 3, second six months 3,250 2,624.99 625.01 65,000.00 *Relates to expanded material.Chapter 12 441 PE 12–17 (LO6) Accounting for Investments Using the Equity Method* Investment in Hall Company .......................................................... 32,000 Revenue from Investments ....................................................... 32,000 To recognize Manwill’s portion of Hall’s net income ($80,000 ⨯0.40 = $32,000).Cash ................................................................................................. 8,000 Investment in Hall Company ..................................................... 8,000 To recognize Manwill’s portion of Hall’s dividends paid ($20,000⨯ 0.40 = $8,000).No entry is made for market value adjustments under the equity method of ac-counting for investments.PE 12–18 (LO7) Consolidated Financial Statements*Parent Company will report $135 ($150 ⨯ 0.90) as Income from Sub on its own in-come statement. On the consolidated financial statements, all of Sub’s revenue and expenses will be reported. Also reported will be Minority Interest in the amount of $15.*Relates to expanded material.442Chapter 12EXERCISESE 12–19 (LO3, LO4) Investment in Trading Securities—Journal Entries2008July 1 Investment in Trading Securities ................................... 8,300Cash ............................................................................ 8,300 Purchased 350 shares of Bateman Companystock at $22 per share plus $600 commission.Oct. 31 Cash (700)Dividend Revenue (700)Received a $2.00 per share dividend on350 shares of Bateman Company stock.Dec. 31 Unrealized Loss on Trading Securities—Income ......... 1,650Market Adjustment—Trading Securities .................. 1,650 To reduce trading securities to market($8,300 – $6,650).2009Feb. 20 Cash ................................................................................. 4,550Realized Gain on Sale of Trading Securities (400)Investment in Trading Securities ............................. 4,150 Sold 175 shares of Bateman Company stock[(175 shares ⨯ $26 = $4,550); one-half oforiginal cost of $8,300 is $4,150].Oct. 31 Cash (385)Dividend Revenue (385)Received a $2.20 per share dividend on175 shares of Bateman Company stock.Dec. 31 Market Adjustment—Trading Securities ....................... 2,575Unrealized Gain on Trading Securities—Income .... 2,575 To increase trading securities to market givena credit balance in the market adjustment of$1,650. Cost = $8,300 – $4,150 = $4,150;market = $29 ⨯ 175 shares = $5,075.Chapter 12 443 E 12–20 (LO3, LO4) Investment in Trading Securities—Journal EntriesJuly 16 Investment in Trading Securities ................................... 41,880Cash ............................................................................ 41,880 Purchased 4,000 shares of Eli Corporation stock.Sept. 23 Cash ................................................................................. 3,600Dividend Revenue ...................................................... 3,600 Received a cash dividend of $0.90 per share on4,000 shares of Eli Corporation stock.28 Cash ................................................................................. 21,840Investment in Trading Securities ............................. 20,940Realized Gain on Sale of Trading Securities (900)Sold 2,000 shares of Eli Corporation stock at $11per share—paid a commission of $160. [Cash =($11 ⨯ 2,000) – $160; short-term investment =$41,880 ⨯ 1/2; gain = $21,840 – $20,940].Dec. 31 Market Adjustment—Trading Securities ....................... 1,560Unrealized Gain on Trading Securities—Income .... 1,560 To increase value of securities to market [$11.25⨯ 2,000 shares – ($41,880 – $20,940) = $1,560].E 12–21 (LO3, LO4) Investment in Available-for-Sale Securities—JournalEntriesJan. 14 Investment in Available-for-Sale Securities .................. 83,200Cash ............................................................................ 83,200 Purchased 4,000 shares of Pinegar Corporationstock at $20.80 per share.Mar. 31 Cash ................................................................................. 1,000Dividend Revenue ...................................................... 1,000 Received a cash dividend of $0.25 per share on4,000 shares of Pinegar Corporation stock.Aug. 28 Cash ................................................................................. 36,160Investment in Available-for-Sale Securities ............ 33,280Realized Gain on Sale of Available-for-SaleSecurities ................................................................. 2,880Sold 1,600 shares of Pinegar Corporation stock at$22.60 per share [gain = 1,600 shares ⨯ ($22.60 –$20.80) = $2,880].444Chapter 12 E 12–21 (LO3, LO4) (Concluded)Dec. 31 Market Adjustment—Available-for-Sale Securities ...... 7,680Unrealized Increase/Decrease in Value ofAvailable-for-Sale Securities—Equity ................... 7,680To increase value of securities to marketvalue using market adjustment account[2,400 shares ⨯ ($24.00 – $20.80) = $7,680].E 12–22 (LO3, LO4) Investment in Securities2007Jan. 17 Investment in Available-for-Sale Securities .................. 89,500Cash ............................................................................ 89,500 Purchased 2,750 shares of Horner Companystock for $89,500.May 10 Cash ................................................................................. 3,575Dividend Revenue ...................................................... 3,575 Received a cash dividend of $1.30 per share on2,750 shares of Horner Company stock.Dec. 31 Unrealized Increase/Decrease in Value of Available-for-Sale Securities—Equity ......................................... 7,000Market Adjustment—Available-for-Sale Securities .7,000 To decrease value of securities to market valueusing market adjustment account (2,750 shares⨯ $30.00 = $82,500; $89,500 – $82,500 = $7,000).2008May 22 Investment in Available-for-Sale Securities .................. 30,000Cash ............................................................................ 30,000 Purchased an additional 750 shares of HornerCompany stock for $40 per share.July 18 Cash ................................................................................. 3,150Dividend Revenue ...................................................... 3,150 Received a cash dividend of $0.90 per share on3,500 shares of Horner Company stock.Chapter 12 445 E 12–22 (LO3, LO4) (Concluded)Dec. 31 Market Adjustment—Available-for-Sale Securities ...... 34,500Unrealized Increase/Decrease in Value ofAvailable-for-Sale Securities—Equity ................... 34,500To adjust portfolio of available-for-sale securitiesto market given a credit balance in the marketadjustment account from the prior period of$7,000. Market = $147,000 (3,500 shares ⨯ $42);Historical cost = $119,500 ($89,500 + $30,000);$147,000 – $119,500 = $27,500 + $7,000 = $34,500.2009June 7 Cash ................................................................................. 3,500Dividend Revenue ...................................................... 3,500 Received a cash dividend of $1.00 per share on3,500 shares of Horner Company stock.Oct. 5 Cash ................................................................................. 94,500 Realized Loss on Sale of Available-for-Sale Securities 25,000Investment in Available-for-Sale Securities ............ 119,500 To record sale of all Horner Company stock for$27 per share. Loss on sale = [$119,500 – ($27 ⨯3,500 shares)].Dec. 31 Unrealized Increase/Decrease in Value ofAvailable-for-Sale Securities—Equity ......................... 27,500Market Adjustment—Available-for-Sale Securities .27,500 Eliminate market adjustment account as allavailable-for-sale securities have been sold.Balance prior to adjustment is $27,500 ($34,500debit – $7,000 credit).E 12–23 (LO4) Investment in Equity Securities1. Market ValueSecurity Cost (December 31, 2009)A $250,000 $130,000B 160,000 169,000C 315,000 350,000Total $725,000 $649,000An unrealized loss of $76,000 ($725,000 –$649,000) would be recognized, reducing net income to $554,000 ($630,000 – $76,000).。
审计专业英语
Auditor The border of director Administrator Manager
Financial analyst
Controller
Employee
SAP AG
(2) Management Accounting
(3) Tax Accounting
3. Three Fields of Accounting
EXERCISE
E1-1 You recently invested $12,000 of your savings in a security
issued by a large company. The security agreement pays you 7 percent per year and has a maturity two years from the day you purchased it. What is the total cash flow you expect to receive from this investment, separated into return on your investment and the return of your investment?
Q-4. Objectives of financial reporting to external investors and creditors include preparing information about all of the following except: a. Information used to determine which products to produce. b. Information about economic resources, claims to those resources, and changes in both resources and claims. c. Information that is useful in assessing the amount, timing, and uncertainty of future cash flows. d. Information that is useful in making investment and credit decisions.
会计英语财务会计(ppt版)
executives 高级(gāojí)管理人员
professional judgment
职业判断力
第六页，共八十四页。
ethical standard 道德(dàodé)准那么
integrity 整合性
AICPA
美国(měi ɡuó)注册会计师 协会
第七页，共八十四页。
Chapter 2
第四十六页，共八十四页。
weight average
加权平均
(píngjūn)
第四十七页，共八十四页。
Chapter 7
第四十八页，共八十四页。
accumulated depletion
累计折耗(shéhào)
accumulated depreciation
累计折旧
acquisition cost 取得(qǔdé)本钱
第二十九页，共八十四页。
bad debt recovery 已确认(quèrèn)坏账的收
回
bed debt expense 坏账费用
bank charges 银行(yínháng)手续费
bank credit memorandum
银行贷项通知
第三十页，共八十四页。
bank debit memorandum
closing the accounts
结账
(jié zhànɡ)
closing entry 结账分录
credit balance 贷方余额
第十八页，共八十四页。
debit balance 借方余额
depreciation expense 折旧费用
double-entry accounting
第二十七页，共八十四页。
Managerial Accounting Canadian Edition (12)
13
Copyright John Wiley & Sons Canada, Ltd.
CHAPTER
12
Standard Direct Labour Cost Per Unit
The standard direct labour cost per unit is calculated as follows:
C H APT ER
Standard Costs and Balanced Scorecard
Study Objectives
4.
5. 6. 7.
8.
9.
Differentiate between a standard and a budget and identify the advantages of standard costs. Describe how companies set standards. State the formulas for determining direct materials variances. State the formulas for determining direct labour variances. State the formulas for determining total manufacturing overhead variances. Discuss the reporting of variances. Prepare an income statement for management under a standard cost system. Describe the balanced scorecard approach to performance evaluation. Identify the features of a standard cost accounting system
17-GOV'T ACCOUNTING
STUDY UNIT SEVENTEENGOVERNMENTALACCOUNTINGThis study unit and the next one relate to the governmental entities group in the Content Specification Outlines.Study Unit17provides an overview of(1)the fundamental concepts underlying state and local governmental accounting and reporting,(2)the importance of budgetary accounting in government,and(3)the recognition rules and journal entries related to governmental financing.Study Unit18describes(1)the accounts and journal entries related to transactions specific to governmental entities,(2)the process of defining the governmental reporting entity,(3)the components of the comprehensive annual financial report(CAFR),(4)the reporting requirements for government-wide and fund-based financial statements,and(5)other required information in the CAFR.17.1FUND ACCOUNTING CONCEPTS ANDREPORTING1.Standard-Setting for Governmental Accountinga.The Governmental Accounting Standards Board(GASB),established in1984,isnow the primary standard setter for state and local governmental entities.1)The GASB has issued59Statements,6Interpretations,and5ConceptsStatements as of October30,2010.b.The conceptual framework for state and local governmental entities is discussed inStudy Unit1,Subunit4.c.The following(in descending order of authority)is the GASB’s hierarchy of accountingprinciples:Category(a):Officially established(Most authoritative)GASB Statements and InterpretationsCategory(b):GASB Technical BulletinsApplicable AICPA Industry Audit and Accounting Guides and Statements of PositionCleared by the GASBCategory(c):Applicable AICPA Practice BulletinsCleared by the GASBConsensus Positions of an Accounting GroupOrganized by the GASBCategory(d):GASB Implementation Guides(“Qs and As”)Widely Recognized and Prevalent Practices1)The entity also may consider other accounting literature if the guidance incategories(a)-(d)is not applicable.Examples are GASB Concepts Statements and the AICPA pronouncements in(b)-(d)not cleared by the GASB.12SU17:Governmental Accounting2.Fund Accountinga.The diversity of governmental activities and the need for legal compliance preclude theuse of a single accounting entity.Thus,independent,distinct fiscal and accountingentities called funds are established.b.A fund is a fiscal and accounting entity with a self-balancing set of accounts.Itrecords(1)financial resources(including cash),(2)related liabilities,(3)residualequities or balances,and(4)changes in them.Items in a fund are segregatedbecause they relate to specific activities or certain objectives that are subject tospecial regulations or limitations.c.A fund accounting system of a governmental reporting entity must be able to presentfairly in conformity with GAAP and with full disclosure the financial position andresults of operations of the funds.Also,it must determine and demonstratecompliance with finance-related legal and contractual provisions.1)No more than the number of funds required by law and efficient financialadministration should be created.3.Funds Used in Governmental Accountingernmental funds account for the nonbusiness activities of government and itscurrent,expendable,general resources(most often taxes).1)The general fund accounts for all financial resources except those required tobe accounted for in another fund.Only one general fund may be reported.2)Special revenue funds account for restricted or committed proceeds ofspecific revenue sources.Expenditure must be for a specified purpose(butnot debt service or a capital project).Thus,the basis of the fund is asubstantial inflow from restricted or committed revenue sources.a)For example,a government may have a special revenue fund for operationof its municipal auditorium,its zoo,or road maintenance.b)Donations provided by benefactors for programs to be administered by thegovernment also are accounted for in special revenue funds.c)A special revenue fund is not used for the resources of a trust benefitingspecific individuals,private organizations,or other governments.3)Capital projects funds account for financial resources restricted,committed,or assigned to be expended for capital purposes.These resources includegeneral obligation bond proceeds dedicated to the construction of major capitalfacilities,such as schools,bridges,or tunnels.But other capital facilities maybe financed through proprietary funds or certain trust funds.a)The assets themselves are not accounted for in these funds.4)Debt service funds account for resources restricted,committed,or assigned topaying principal and interest.But these funds do not account for the debt itself.a)They also account for resources being accumulated for future principal andinterest payments.b)A debt service fund is used if it is required by law.5)Permanent funds account for resources that are restricted to the use ofearnings for the benefit of the government or its citizens.An example is aperpetual-care fund for a public cemetery.a)Private-purpose trust funds are not permanent funds.SU17:Governmental Accounting3b.Proprietary funds account for the business-type activities of government.Theyserve defined customer groups and are generally financed through fees.1)Enterprise funds account for government activities that benefit outside partieswho are willing to pay for them,such as municipal pools,parking garages,andutilities.They are the funds that most closely resemble private businesses.2)Internal service funds account for activities performed primarily for the benefitof other government agencies,such as a centralized information technologydepartment or motor pool.c.Fiduciary funds account for resources held by the government in trust or as an agentfor specific individuals,private organizations,or other governments.Theycannot be used for the reporting entity’s purposes.1)Pension(and other employee benefit)trust funds account for employeebenefit programs.2)Investment trust funds account for resources held for investment on behalf ofother governments in an investment pool.3)Private-purpose trust funds account for all other trust arrangements thatbenefit individuals,private organizations,or other governments.4)Agency funds account for resources held temporarily in a purely custodialcapacity,such as tolls that will be remitted to a private business.4.Accountability Objective of Governmental Reportinga.“Accountability is the paramount objective of governmental financial reporting–the objective from which all other financial reporting objectives flow.”1)Fiscal accountability is“the responsibility of governments to justify that theiractions in the current period have complied with public decisions concerning theraising and spending of public moneys in the short term.”2)Operational accountability is“governments’responsibility to report the extentto which they have met their accounting objectives efficiently and effectively,using all resources available for that purpose,and whether they can continue tomeet their objectives for the foreseeable future.”ernmental reporting traditionally has emphasized fiscal accountability forgovernmental activities and operational accountability for business-type activities andfiduciary funds.1)Reporting for governmental bodies was fundamentally changed by therequirement that governmental entities report two sets of financialstatements.c.The fund financial statements of governmental funds continue to focus on the fiscalaccountability of governmental activities.1)However,government-wide financial statements now provide informationabout the operational accountability of the governmental activities andbusiness-type activities of the government as a whole.2)The financial statements of proprietary funds and fiduciary funds provideinformation about the operational accountability of those funds.d.Interperiod equity is an important component of accountability that is fundamental topublic administration.Financial resources received during a period should suffice topay for the services provided during that period.Moreover,debt should be repaidduring the probable period of usefulness of the assets acquired.1)Thus,governmental reporting should help users assess whether futuretaxpayers must bear the financial burden for services already provided.4SU17:Governmental Accounting2)Governmental financial reporting also should assist users(e.g.,citizens andlegislative and oversight bodies)in making economic,political,and socialdecisions.For example,revenue forecasts may help advocates for increasedexpenditures for education or transportation.e.For further discussion of the objectives of financial reporting for state and localgovernments,see Study Unit1,Subunit4.5.Current Financial Resources Measurement Focus and Modified Accrual Accountinga.The measurement focus of a set of financial statements is what is being measured ortracked by the information provided.b.The basis of accounting is the timing of the recognition in the financial records ofeconomic events or transactions.c.The current financial resources measurement focus and the modified accrual basis ofaccounting are used to report the governmental fund financial statements.1)This approach emphasizes short-term fiscal accountability for expendableavailable financial resources.The reporting elements are sources,uses,andbalances of current financial resources.2)Under the modified accrual basis of accounting,revenue or another increasein financial resources(such as bond issue proceeds)is recognized when it issusceptible to accrual.a)Revenue is accrued when it is measurable and available to financeexpenditures of the current period.i)Available means collectible within the current period or“soonenough thereafter”to be used to pay liabilities of the current period.Ordinarily,material revenues that are otherwise not recorded untilreceived are accrued if receipt is delayed beyond the normal time.ii)For property tax purposes,the phrase“soon enough thereafter”means not more than60days after the end of the year.But inunusual cases,a longer period may be justified.The governmentalunit should disclose the period used and the justification for it.iii)Property taxes are measurable when assessed property values canbe multiplied by the tax rate to obtain the total tax to be levied.b)A charge to operations is normally made when goods or services areacquired.Thus,expenditures are usually measurable and should berecognized when the related liability is incurred.c)However,expenditures for principal and interest on general long-termdebt are usually recognized only when those amounts are due.Theamount of an expenditure is what is normally liquidated with expendableavailable financial resources.d)For a fuller discussion,see Subunit17.3.6.Economic Resources Measurement Focus and Accrual Accountinga.The economic resources measurement focus and the accrual basis of accounting areused to report the government-wide,proprietary fund,and fiduciary fund financialstatements.1)This approach provides longer-term operational accountability informationabout economic activity.It measures revenues and expenses in the same wayas in commercial accounting but without necessarily emphasizing netincome.Instead,the emphasis is on a longer-range measure of revenuesearned or levied(and accrued immediately if measurable).2)Furthermore,the economic resources model focuses on cost of services.SU17:Governmental Accounting5b.Under the accrual basis of accounting,most economic transactions and other eventsthat are feasibly measurable are recognized without regard to cash flows.Moreover,a charge is made to operations when goods or services are used orconsumed,not when they are acquired.Acquired but unused goods and services aretreated as assets.1)Thus,revenues,expenses,gains,losses,assets,and liabilities that arise fromexchange or exchange-like transactions are accrued when the exchangeoccurs.2)Recognition of nonexchange transactions is described in Subunit17.3.c.The cash basis is not used in governmental accounting except for miscellaneouscash items that are not feasibly measurable until cash is received or paid.d.Transfers are recognized in all affected funds when the interfund receivable andpayable arise.7.General Capital Assetsa.General capital assets are all capital assets not reported in the proprietary funds orthe fiduciary funds.Thus,they are not specifically related to activities reported innongovernmental funds.They usually result from expenditure of governmental fundfinancial resources.b.They are reported at historical cost,including ancillary charges(freight-in,sitepreparation,etc.),only in the governmental activities column of the government-wide statement of net assets.1)In governmental funds,the full cost of a capital asset is debited as anexpenditure when acquired in accordance with the current financial resourcesmeasurement focus.c.Donated capital assets are reported at fair value(plus ancillary charges).8.General Long-Term Liabilitiesa.General long-term liabilities are all unmatured long-term liabilities not directlyrelated to and expected to be paid from proprietary funds and fiduciary funds.Theyshould be reported only in the governmental activities column of the government-wide statement of net assets.b.General long-term liabilities include1)The unmatured principal amounts of general obligation indebtedness(such asbonds,warrants,and notes);2)Lease-purchase agreements and other commitments not recorded as currentliabilities in governmental funds;and3)The noncurrent portions of liabilities fora)Capital leases,b)Operating leases with scheduled rent increases,c)Compensated absences,d)Claims and judgments,e)Pensions,f)Special termination benefits,andg)Landfill closure and postclosure care.9.Accounting for Capital Assets and Long-Term Liabilities in Other Fund Typesa.In proprietary funds,the measurement focus is on economic resources.Capitalassets and long-term liabilities specifically related to proprietary funds activities areaccounted for in the same manner as in a for-profit business.They are reported inthose funds and in the government-wide statements.b.Fiduciary funds contain resources held on behalf of other governments,privateorganizations,or individuals.Because these resources are held in a trustee capacityand cannot be used to finance the operations of the government,capital assets andlong-term liabilities specifically related to fiduciary funds are reported in the fundfinancial statements but not in the government-wide statements.10.SummaryGovernmental Funds Proprietary Funds Fiduciary Funds Government-WideFinancial Statements Financial Statements Financial Statements Financial StatementsMeasurement Focus Current financialresourcesEconomic resources Economic resources Economic resourcesBasis of Accounting Modified accrual Accrual Accrual Accrual Capital Assets No Yes Trust funds only Yes Long-Term Liabilities No Yes Trust funds only Yes17.2BUDGETARY ACCOUNTING AND ENCUMBRANCES1.Budgetary Accountinga.Budgetary accounting is unique to governmental bodies.A governmental body’sformal budget is an expression of public policy.b.The budget represents a statement of financial intent indicating how the governmentalentity plans to raise revenue and expend its resources.1)For most governments,the budget is legally enforceable against the financialmanagers.By law,they cannot exceed the budget without a formally approvedbudget amendment.2)The budget provides a basis for evaluating performance.Actual expendituresand expenses are compared with amounts budgeted for each period.2.Budget Integrationa.Because the formally adopted budget has legal implications,most governmentalbodies integrate their budgets into the accounting system.This integrationshould be done for the following:1)The general fund2)Special revenue funds3)Other governmental funds with numerous transactionsb.Integration is usually unnecessary in debt service funds because transactions arefew and contractual provisions prescribe receipts and expenditures.c.Some degree of budgetary integration may be needed in a capital projects fundwhen many projects are being accounted for in the fund or work is being done by thegovernmental entity itself.d.Because flexible rather than fixed budgets are usually prepared for proprietary funds,integration of fixed budgetary accounts is normally inappropriate for such funds.e.Budget integration is necessary for fiduciary funds that are similar to specialrevenue funds.It is not necessary for agency funds or for fiduciary funds that arebudgeted similarly to proprietary funds.mon terminology and classifications must be used consistently throughout thebudget,the accounts,and the financial reports of each fund.1)The budget(s)to be adopted should encompass every governmental,proprietary,and fiduciary fund of the governmental entity.6SU17:Governmental AccountingSU17:Governmental Accounting72)The basis of accounting for the budget preferably should correspond to thebasis of accounting used by the fund for which the budget is being prepared.3)However,if the law requires another basis,governmental entities often keepsupplemental records that permit reporting in accordance with GAAP.3.Budgetary Accountsa.Despite being formally integrated into the accounting system,the budgetary amountsare not reported in the financial statements.The principal accounts used in theentry to record the annual budget are described below:1)Estimated revenues is an anticipatory asset that is debited in the budgetaryentry.It reflects the amount expected to be collected from a governmentalbody’s main sources of revenue,such as taxes,fees,and fines.2)Estimated other financing sources is another anticipatory asset that includesthe sources of government financing other than its main revenues.Examplesare the face amount of long-term debt,issuance premium,and interfundtransfers.3)Estimated other financing uses is an anticipatory liability used to record anexpected flow of resources to another fund.Issuance discount and interfundtransfers for debt service are common examples.4)Appropriations is an anticipatory liability reflecting the total amountauthorized to be expended by the governmental unit for the fiscal period.It iscredited in the budgetary entry.a)Unless a balanced budget or deficit is planned,the balance in estimatedrevenues exceeds that in appropriations control.This allows for someflexibility if revenues prove to be lower,or expenditures prove to behigher,than expected.5)Fund balance is a real account.It is the difference(fund equity)between theassets and liabilities of a governmental fund.a)Some accountants prefer to use budgetary fund balance,a nominalaccount,to record the budgeted change for the year.b)Fund balance is classified according to the limits on the specificpurposes for which resources may be spent.The following is thehierarchy of classifications:i)Nonspendable.These amounts(a)are in a form(e.g.,inventory,prepayments,or long-term loans)that is not spendable or(b)mustbe kept intact(e.g.,the principal of a permanent fund).q But if the proceeds of such an item are restricted,committed,or assigned,they are presented in one of thoseclassifications.ii)Restricted.These amounts may be expended only for specificpurposes established by(a)constitutional mandate,(b)enablinglegislation,or(c)an external provider.iii)Committed.These amounts may be expended only for specificpurposes established by a formal act of the entity’s highestdecision maker.q This decision maker may redirect the resources by followingthe necessary due process procedures.iv)Assigned.These are remaining amounts that are not properlyclassifiable as nonspendable,restricted,or committed in agovernmental fund not the general fund.In the general fund,assigned fund balance includes amounts to be used for a specificpurpose that are not restricted or committed.8SU17:Governmental Accountingq Expenditure is limited only by the entity’s intent to use suchamounts for specific purposes.q An example of an assignment is an appropriation of fundbalance to offset a budget deficit expected in the next year.s The amount should equal no more than the excess ofexpected expenditures over expected revenues.q An assignment should not create a deficit in fund balance.v)Unassigned.The general fund is the only fund that reports apositive balance(the sum of the amounts not classified elsewhere).q In other governmental funds,this classification is used onlyfor a deficit balance.6)In proprietary-fund accounting,budget integration is rare.Thus,theclassifications above are not used.Instead,restricted net assets is reported onthe fund balance sheet.SU17:Governmental Accounting97)As conditions change during the year,a portion of the fund balance may bemoved to appropriations.This is the formal acknowledgment in the budget ofnew circumstances.4.Encumbrancesa.Encumbrance accounting may be used for internal purposes but not for general-useexternal reporting.b.A governmental entity makes a commitment to expend resources when a contract issigned or a purchase order is approved.The amount may then be formally entered inthe accounting system as an encumbrance by a government that chooses to useencumbrance accounting.1)By contrast,a for-profit entity does not accrue a payable until the good isdelivered or the service performed.2)Encumbrance accounting is used only for governmental funds,especiallygeneral and special revenue funds.3)A government that uses encumbrance accounting should disclose significantencumbrances in the notes.a)If resources previously have been encumbered and classified as restricted,committed,or assigned,no separate display is needed in thoseclassifications.b)If an encumbered amount has not previously been restricted,etc.,it is notclassified as unassigned.Instead,it is included in committed or assignedfund balance.c)No separate line item appears on the balance sheet for an encumbrance.The reason is that encumbering an amount does not further limit thespecific purposes for which it may be used.i)For example,an encumbered amount is not reported as committedfor encumbrances.Rather,it is reported with other such amountshaving the same purpose.c.The traditional encumbrance entry is to debit encumbrances control and credit reservefor encumbrances.d.When the good is delivered or the service performed,two entries are made.1)The encumbrance entry is reversed.2)The legal obligation to pay is recognized.a)Governmental funds report expenditures rather than expenses,and creditvouchers payable rather than accountspayable.3)If the actual cost of the good or service is greater thanthe amount of theoriginal encumbrance,the excess is an expenditure of the period in which it ispaid.When testing the candidate’s knowledge of encumbrance accounting,the AICPA has used questions askingfor the journal entries made for the different transactions in the encumbrance process.Calculations of theamounts used in these journal entries have also been required.5.Year-End Closinga.The budgetary entries are reversed.1)Because governmental bodies do not measure net income,no closing entry ismade for operating accounts.10SU17:Governmental Accountingb.Any encumbrances are removed from the books.1)Standard practice is for appropriations to lapse at year end.2)A government may reclassify fund balance to acknowledge in its financialstatements the claim on next period’s resources of commitments made duringthe reporting period.mon anticipated liabilities,such as wages payable and payroll taxes payable,need not be encumbered because of the controls in place for such expenditures. 6.SummaryGovernmental Funds Proprietary Funds Fiduciary FundsBudgetary accounting General and special revenuefunds;other funds withmany transactions;rarelyin debt service funds Rarely If similar to specialrevenue fundsOutlays encumbered General and special revenuefunds;possibly other fundsNo No17.3GOVERNMENTAL SOURCES OF FINANCING1.Overview of Nonexchange Transactionsa.Revenue recognition for a government is unlike that for a private entity.1)A government often does not directly exchange something of value,such as agood or service,for its sources of income.Primary sources of governmentrevenue,therefore,are nonexchange transactions.b.All nonexchange transactions are classified into four categories.1)Derived tax revenues are assessments on underlying exchange transactions.The primary examples are income taxes and sales taxes.Income is earned ora sale is completed and a tax is levied based on the amount involved.2)Imposed nonexchange revenues are assessments on nongovernmentalentities,for example,property taxes,forfeitures,or fines.No underlyingexchange exists.The assessment is on ownership of property(real estate,automobile,etc.)or the commission of an act(speeding,failing to obtain anoccupational license,etc.).3)Government-mandated nonexchange transactions occur when onegovernment provides resources to a government at another level and requiresthat they be used for a specific purpose.Fulfillment of eligibility requirementsis essential.An example is federal grant money that state governments arerequired to expend on primary education.4)Voluntary nonexchange transactions arise from legislative or contractualagreements entered into willingly by the parties.Thus,they are not imposedon any party,and fulfillment of eligibility requirements is essential.Moreover,one party may be a nongovernmental entity(e.g.,an individual).Examples ofvoluntary nonexchange transactions are certain grants,certain entitlements,and private donations(such as a gift of an art collection to a municipalmuseum).2.Timing of Recognitiona.The timing of recognition of assets,liabilities,and expenses or expenditures that arisefrom nonexchange transactions is not affected by the basis of accounting(accrual ormodified accrual).b.Revenue recognition on the modified accrual basis,however,requires that thecriteria for nonexchange transactions be met and that the resources be available.1)Accordingly,the revenue recognition criteria described below are those foraccrual-basis accounting,but the availability criterion also may need to be met.c.The method of accounting for property taxes(recognition in the period for which theywere levied)is not changed.3.Accounting Procedures--Derived Tax Revenuesa.Assets are recognized when the underlying exchange transaction occurs or resourcesare received,whichever is earlier.b.Revenues are recognized when the underlying exchange transaction occurs.1)Resources received before the underlying exchange are deferred revenues,that is,liabilities.c.In the governmental fund financial statements,resources also must be available toqualify for revenue recognition.4.Accounting Procedures--Imposed Nonexchange Revenuesa.Assets are recognized when(1)a legal claim to the resources has arisen or(2)resources are received,whichever is earlier.b.Revenues are recognized when the resources are required to be used or when theiruse is first allowed by the time requirements.1)Resources received or recognized as receivable before the time requirementsare met are deferred revenues.2)If no time requirements have been established,then revenue recognition is atthe same time as the recognition of the assets.c.In the governmental fund financial statements,resources also must be available toqualify for revenue recognition.。
government accountingChapter 3pp
MFBA
• Measurement Focus (MF) is on current financial resources – what is expendable • Basis of Accounting (BA) is modified accrual – recognition occurs for
Basic Accounting Equation
Financial Assets
Related Liabilities
Fund Balance
Illustrative Entries from textbook
(ignore budget, follow GAAP)
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11.
The General Fund and Special Revenue Funds
Chapter 3
Learning Objectives
• Discuss similarities & differences between GF and SRFs • Explain MF & BA used for these funds • Analyze common journal entries for transactions, including interfund activity • Prepare adjusting & closing entries • Define special items and extraordinary items • Prepare GF and SRF financial statements
Property tax levy, collect and reclassify (#1, 17, 18 & 19) Other revenues (#2 & 20) Orders and contracts (#3, placing an order) Orders and contracts (#4, receiving and paying) Salary expenditures(#5) Interfund activity (reimbursements) (#6) Interfund activity (transfers) (#7,8 & 9) Interfund activity (charge for service) (#10) Interfund activity (loans, short-term, long-term) (#11 & 12) Short-term borrowing (#13 & 14) Extraordinary and special items (#15 & 16)
会计学原理英文ppt课件Chapter_01ACCOUNTINGINBUSINESS
Users of Accounting
C2
Information
External Users
Internal Users
•Lenders •Consumer Groups •Shareholders •External Auditors
•Governments •Customers
•Managers
Notes Receivable
Accounting Equation
Assets = Liabilities + Equity
A1
Accounts Receivable
Vehicles
Store Supplies
Assets
Cash
Resources owned or controlled by a company
Equipment
statements.
Managerial accounting provides information needs for internal decision makers.
C3 Opportunities in Accounting
Financial
•Preparation •Analysis •Auditing
Principles and Assumptions
C5
of Accounting
Now
Future
Going-Concern Assumption
Reflects assumption that the business will continue operating instead of being closed or sold.
internal controls.
李海红编著《实用会计英语第一章》中英文对照
CONTENTS 目录Chapter 1 General View of Accounting (1)第一章会计学概况Chapter 2 Forms of Business Organization (9)企业组织形式Chapter 3 Accounting Equation and Illustration (17)会计等式和举例说明Chapter 4 Accounts (24)账户（科目、账款、账目）Chapter 5 Double-Entry System (32)复式记账制（制度、体系、系统）Chapter 6 Journalizing (39)记日记账Chapter 7 Posting and Trial Balance (46)过账和试算平衡表Chapter 8 Adjustments (55)调账Chapter 9 Financial Statements (63)财务报表Chapter 10 Closing Entries (69)结账分录Chapter 11 Sales and Purchases (81)销货和购货Chapter 12 Cash and Marketable Securities (87)现金和有价证券Chapter 13 Accounts Receivable (92)应收账款Chapter 14 Notes Receivable (97)应收票据Chapter 15 Inventories (103)存货盘点to take inventories at the end of accounting period在会计期末盘点存货Chapter 16 Plant Assets (109)厂房设备资产Chapter 17 Bonds Payable (117)应付债券Chapter 18 Capital Stocks (122)股本Reference Answer (127)参考答案General View of AccountingCHAPTER 1Chapter 1General View of Accounting会计学概况As one of the oldest professions,作为历史最古老的职业之一，accounting is as old as the civilization of human.会计和人类文明一样历史悠久。
unit 12会计英语
Contributions to the business will increase this account.
contribution n.捐献,贡献
contribute v.捐献, 贡献 【例句】 The girl contributed food and clothing to the poor
Tasks
Task 1Βιβλιοθήκη Task 1Task 2
Task 2
Task 2
investment n.投资 【例句】He made a profit by careful investment. 【搭配】fixed investment 固定投资 foreign investment 外 国投资 financial investment 金融投资 net investment 净投资
UNIT 12
The Owner’s Equity Accounts
Special Terms
Paid-in Capital Additional Paid-in Capital Retained Earnings
Reading The Owner’s Equity Accounts
Equity comes from investment in the business by the owners, plus accumulated net profits of the business that have not been paid out to the owners.
accumulate v. 积聚 【例句】He acc fortune.
umulated a large
pay out 付（钱）；付出（巨额款项） 【例句】We have paid out nearly 5000 yuan this month.
企业会计准则基本准则英文财政部
Accounting Standard for Business Enterprises—Basic StandardChapter 1 General ProvisionsArticle 1 In accordance with the Accounting Law of the People’s Republic1of China and other relevant2laws and regulations, this Standard is formulated3to prescribe the recognition, measurement and reporting activities of enterprises for accounting purposes and to ensure the quality of accounting information.Article 2 This Standard shall apply to enterprises(including companies) established within the People’s Republic of China.Article 3 Accounting Standard for Bussiness Enterprises include the Basic Standard and Specific Standards. Specific Standards shall be formulated in accordance with this Standard.Article 4 An enterprise shall prepare financial reports. the objective of financial reports is to provide accounting information about the financial position, operating results and cash flows, etc.4of the enterprise to the users of the financial reports, in order to show resunts of the management’s stewardship5, and assist6users of financial reports to make economic decisions.Users of financial reports include investors, creditors, government and its relevant departments as well as the public.Article 5 An Enterprise shall recognize, measure and report transactions or events that the enterprise itself have occurred.Article 6In performing recognition, measurement and reporting for accounting purposes, an enterprise shall be assumed to be a going concern.Article 7An enterprise shall close the accounts and prepare financial reports for each separate accounting period.Accounting periods are divided into annual periods(yearly)and interim71[ri'pʌblik] 名词n. 1.共和国;共和政体[C] The People's Republic of China was founded['faundid] in 1949. 中华人民共和国成立于一九四九年。
会计英语专用词汇
会计科目英文Accounting system 会计系统American Accounting Association 美国会计协会 American Institute of CPAs 美国注册会计师协会Audit 审计Balance sheet 资产负债表Bookkeeping 簿记Cash flow prospects 现金流量预测Certificate in Internal Auditing 内部审计证书Certificate in Management Accounting 管理会计证书Certificate Public Accountant 注册会计师Cost accounting 成本会计External users 外部使用者Financial accounting 财务会计Financial Accounting Standards Board 财务会计准则委员会Financial forecast 财务预测Generally accepted accounting principles 公认会计原则General-purpose information 通用目的信息 Government Accounting Office 政府会计办公室Income statement 损益表Institute of Internal Auditors 内部审计师协会Institute of Management Accountants 管理会计师协会Integrity 整合性Internal auditing 内部审计Internal control structure 内部控制结构Internal Revenue Service 国内收入署Internal users 内部使用者Management accounting 管理会计Return of investment 投资回报Return on investment 投资报酬Securities and Exchange Commission 证券交易委员会Statement of cash flow 现金流量表Statement of financial position 财务状况表Tax accounting 税务会计Accounting equation 会计等式Articulation 勾稽关系Assets 资产Business entity 企业个体Capital stock 股本Corporation 公司Cost principle 成本原则Creditor 债权人Deflation 通货紧缩Disclosure disclose 批露Expenses 费用Financial statement 财务报表Financial activities 筹资活动Going-concern assumption 持续经营假设Inflation 通货膨涨 Investing activities 投资活动Liabilities 负债Negative cash flow 负现金流量Operating activities 经营活动Owner’s equity 所有者权益Partnership 合伙企业Positive cash flow 正现金流量Retained earning 留存利润Revenue 收入Sole proprietorship 独资企业 Solvency 清偿能力Stable-dollar assumption 稳定货币假设Stockholders 股东Stockholders’ equity 股东权益Window dressing 门面粉饰Account 帐户会计英文(中英文对照)一、资产类 Assets流动资产 Current assets货币资金 Cash and cash equivalents1001 现金 Cash1002 银行存款 Cash in bank1009 其他货币资金 Other cash and cash equivalents'100901 外埠存款 Other city Cash in bank'100902 银行本票 Cashier's cheque'100903 银行汇票 Bank draft'100904 信用卡 Credit card'100905 信用证保证金 L/C Guarantee deposits'100906 存出投资款 Refundable deposits1101 短期投资 Short-term investments'110101 股票 Short-term investments - stock'110102 债券 Short-term investments - corporate bonds'110103 基金 Short-term investments - corporate funds'110110 其他 Short-term investments - other1102 短期投资跌价准备 Short-term investments falling price reserves 应收款 Account receivable1111 应收票据 Note receivable银行承兑汇票 Bank acceptance商业承兑汇票 Trade acceptance1121 应收股利 Dividend receivable1122 应收利息 Interest receivable1131 应收账款 Account receivable1133 其他应收款 Other notes receivable1141 坏账准备 Bad debt reserves1151 预付账款 Advance money1161 应收补贴款 Cover deficit by state subsidies of receivable库存资产 Inventories1201 物资采购 Supplies purchasing1211 原材料 Raw materials1221 包装物 Wrappage1231 低值易耗品 Low-value consumption goods1232 材料成本差异 Materials cost variance1241 自制半成品 Semi-Finished goods1243 库存商品 Finished goods1244 商品进销差价 Differences between purchasing and selling price1251 委托加工物资 Work in process - outsourced1261 委托代销商品 Trust to and sell the goods on a commission basis1271 受托代销商品 Commissioned and sell the goods on a commission basis1281 存货跌价准备 Inventory falling price reserves1291 分期收款发出商品 Collect money and send out the goods by stages1301 待摊费用 Deferred and prepaid expenses长期投资 Long-term investment1401 长期股权投资 Long-term investment on stocks'140101 股票投资 Investment on stocks'140102 其他股权投资 Other investment on stocks1402 长期债权投资 Long-term investment on bonds'140201 债券投资 Investment on bonds'140202 其他债权投资 Other investment on bonds1421 长期投资减值准备 Long-term investments depreciation reserves股权投资减值准备 Stock rights investment depreciation reserves债权投资减值准备 Bcreditor's rights investment depreciation reserves 1431 委托贷款 Entrust loans'143101 本金 Principal'143102 利息 Interest'143103 减值准备 Depreciation reserves固定资产 Fixed assets1501 固定资产 Fixed assets房屋 Building建筑物 Structure机器设备 Machinery equipment运输设备 Transportation facilities工具器具 Instruments and implement1502 累计折旧 Accumulated depreciation1505 固定资产减值准备 Fixed assets depreciation reserves房屋、建筑物减值准备 Building/structure depreciation reserves机器设备减值准备 Machinery equipment depreciation reserves 1601 工程物资 Project goods and material'160101 专用材料 Special-purpose material'160102 专用设备 Special-purpose equipment'160103 预付大型设备款 Prepayments for equipment'160104 为生产准备的工具及器具 Preparative instruments and implement for fabricate 1603 在建工程 Construction-in-process安装工程 Erection works在安装设备 Erecting equipment-in-process技术改造工程 Technical innovation project大修理工程 General overhaul project1605 在建工程减值准备 Construction-in-process depreciation reserves1701 固定资产清理 Liquidation of fixed assets无形资产 Intangible assets1801 无形资产 Intangible assets专利权 Patents非专利技术 Non-Patents商标权 Trademarks, Trade names著作权 Copyrights土地使用权 Tenure商誉 Goodwill1805 无形资产减值准备 Intangible Assets depreciation reserves专利权减值准备 Patent rights depreciation reserves商标权减值准备 trademark rights depreciation reserves1815 未确认融资费用 Unacknowledged financial charges待处理财产损溢 Wait deal assets loss or income1901 长期待摊费用 Long-term deferred and prepaid expenses1911 待处理财产损溢 Wait deal assets loss or income'191101待处理流动资产损溢 Wait deal intangible assets loss or income'191102待处理固定资产损溢 Wait deal fixed assets loss or income二、负债类 Liability短期负债 Current liability2101 短期借款 Short-term borrowing2111 应付票据 Notes payable银行承兑汇票 Bank acceptance商业承兑汇票 Trade acceptance2121 应付账款 Account payable2131 预收账款 Deposit received2141 代销商品款 Proxy sale goods revenue2151 应付工资 Accrued wages2153 应付福利费 Accrued welfarism2161 应付股利 Dividends payable2171 应交税金 Tax payable'217101 应交增值税 value added tax payable'21710101 进项税额 Withholdings on VAT'21710102 已交税金 Paying tax'21710103 转出未交增值税 Unpaid VAT changeover'21710104 减免税款 Tax deduction'21710105 销项税额 Substituted money on VAT'21710106 出口退税 Tax reimbursement for export'21710107 进项税额转出 Changeover withnoldings on VAT'21710108 出口抵减内销产品应纳税额 Export deduct domestic sales goods tax'21710109 转出多交增值税 Overpaid VAT changeover'21710110 未交增值税 Unpaid VAT'217102 应交营业税 Business tax payable'217103 应交消费税 Consumption tax payable'217104 应交资源税 Resources tax payable'217105 应交所得税 Income tax payable'217106 应交土地增值税 Increment tax on land value payable'217107 应交城市维护建设税 Tax for maintaining and building cities payable'217108 应交房产税 Housing property tax payable'217109 应交土地使用税 Tenure tax payable'217110 应交车船使用税 Vehicle and vessel usage license plate tax(VVULPT)payable'217111 应交个人所得税 Personal income tax payable2176 其他应交款 Other fund in conformity with paying2181 其他应付款 Other payables2191 预提费用 Drawing expense in advance其他负债 Other liabilities2201 待转资产价值 Pending changerover assets value2211 预计负债 Anticipation liabilities长期负债 Long-term Liabilities2301 长期借款 Long-term loans一年内到期的长期借款 Long-term loans due within one year一年后到期的长期借款 Long-term loans due over one year2311 应付债券 Bonds payable'231101 债券面值 Face value, Par value'231102 债券溢价 Premium on bonds'231103 债券折价 Discount on bonds'231104 应计利息 Accrued interest2321 长期应付款 Long-term account payable应付融资租赁款 Accrued financial lease outlay一年内到期的长期应付 Long-term account payable due within one year一年后到期的长期应付 Long-term account payable over one year2331 专项应付款 Special payable一年内到期的专项应付 Long-term special payable due within one year一年后到期的专项应付 Long-term special payable over one year2341 递延税款 Deferral taxes三、所有者权益类 OWNERS' EQUITY资本 Capita3101 实收资本(或股本) Paid-up capital(or stock)实收资本 Paicl-up capital实收股本 Paid-up stock3103 已归还投资 Investment Returned公积3111 资本公积 Capital reserve'311101 资本(或股本)溢价 Cpital(or Stock) premium'311102 接受捐赠非现金资产准备 Receive non-cash donate reserve'311103 股权投资准备 Stock right investment reserves'311105 拨款转入 Allocate sums changeover in'311106 外币资本折算差额 Foreign currency capital'311107 其他资本公积 Other capital reserve3121 盈余公积 Surplus reserves'312101 法定盈余公积 Legal surplus'312102 任意盈余公积 Free surplus reserves'312103 法定公益金 Legal public welfare fund'312104 储备基金 Reserve fund'312105 企业发展基金 Enterprise expansion fund'312106 利润归还投资 Profits capitalizad on return of investment利润 Profits3131 本年利润 Current year profits3141 利润分配 Profit distribution'314101 其他转入 Other changeover in'314102 提取法定盈余公积 Withdrawal legal surplus'314103 提取法定公益金 Withdrawal legal public welfare funds'314104 提取储备基金 Withdrawal reserve fund'314105 提取企业发展基金 Withdrawal reserve for business expansion'314106 提取职工奖励及福利基金 Withdrawal staff and workers' bonus and welfarefund'314107 利润归还投资 Profits capitalized on return of investment'314108 应付优先股股利 Preferred Stock dividends payable'314109 提取任意盈余公积 Withdrawal other common accumulation fund'314110 应付普通股股利 Common Stock dividends payable'314111 转作资本(或股本)的普通股股利 Common Stock dividends change toassets(or stock)'314115 未分配利润 Undistributed profit四、成本类 Cost4101 生产成本 Cost of manufacture'410101 基本生产成本 Base cost of manufacture'410102 辅助生产成本 Auxiliary cost of manufacture4105 制造费用 Manufacturing overhead材料费 Materials管理人员工资 Executive Salaries奖金 Wages退职金 Retirement allowance补贴 Bonus外保劳务费 Outsourcing fee福利费 Employee benefits/welfare会议费 Conference加班餐费 Special duties市内交通费 Business traveling通讯费 Correspondence电话费 Correspondence水电取暖费 Water and Steam税费 Taxes and dues租赁费 Rent管理费 Maintenance车辆维护费 Vehicles maintenance油料费 Vehicles maintenance培训费 Education and training接待费 Entertainment图书、印刷费 Books and printing运费 Transportation保险费 Insurance premium支付手续费 Commission杂费 Sundry charges折旧费 Depreciation expense机物料消耗 Article of consumption劳动保护费 Labor protection fees季节性停工损失 Loss on seasonality cessation4107 劳务成本 Service costs五、损益类 Profit and loss收入 Income业务收入 OPERATING INCOME5101 主营业务收入 Prime operating revenue产品销售收入 Sales revenue服务收入 Service revenue5102 其他业务收入 Other operating revenue材料销售 Sales materials代购代售包装物出租 Wrappage lease出让资产使用权收入 Remise right of assets revenue返还所得税 Reimbursement of income tax其他收入 Other revenue5201 投资收益 Investment income短期投资收益 Current investment income长期投资收益 Long-term investment income计提的委托贷款减值准备 Withdrawal of entrust loans reserves5203 补贴收入 Subsidize revenue国家扶持补贴收入 Subsidize revenue from country其他补贴收入 Other subsidize revenue5301 营业外收入 NON-OPERATING INCOME非货币性交易收益 Non-cash deal income现金溢余 Cash overage处置固定资产净收益 Net income on disposal of fixed assets出售无形资产收益 Income on sales of intangible assets固定资产盘盈 Fixed assets inventory profit罚款净收入 Net amercement income支出 Outlay业务支出 Revenue charges5401 主营业务成本 Operating costs产品销售成本 Cost of goods sold服务成本 Cost of service5402 主营业务税金及附加 Tax and associate charge营业税 Sales tax消费税 Consumption tax城市维护建设税 Tax for maintaining and building cities资源税 Resources tax土地增值税 Increment tax on land value5405 其他业务支出 Other business expense销售其他材料成本 Other cost of material sale其他劳务成本 Other cost of service其他业务税金及附加费 Other tax and associate charge费用 Expenses5501 营业费用 Operating expenses代销手续费 Consignment commission charge运杂费 Transpotation保险费 Insurance premium展览费 Exhibition fees广告费 Advertising fees5502 管理费用 Administrative expenses职工工资 Staff Salaries修理费 Repair charge低值易耗摊销 Article of consumption办公费 Office allowance差旅费 Travelling expense工会经费 Labour union expenditure研究与开发费 Research and development expense福利费 Employee benefits/welfare职工教育经费 Personnel education待业保险费 Unemployment insurance劳动保险费 Labour insurance医疗保险费 Medical insurance会议费 Coferemce聘请中介机构费 Intermediary organs咨询费 Consult fees诉讼费 Legal cost业务招待费 Business entertainment技术转让费 Technology transfer fees矿产资源补偿费 Mineral resources compensation fees排污费 Pollution discharge fees房产税 Housing property tax车船使用税 Vehicle and vessel usage license plate tax(VVULPT)土地使用税 Tenure tax印花税 Stamp tax5503 财务费用 Finance charge利息支出 Interest exchange汇兑损失 Foreign exchange loss各项手续费 Charge for trouble各项专门借款费用 Special-borrowing cost5601 营业外支出 Nonbusiness expenditure捐赠支出 Donation outlay减值准备金 Depreciation reserves非常损失 Extraordinary loss处理固定资产净损失 Net loss on disposal of fixed assets出售无形资产损失 Loss on sales of intangible assets固定资产盘亏 Fixed assets inventory loss债务重组损失 Loss on arrangement罚款支出 Amercement outlay5701 所得税 Income tax以前年度损益调整 Prior year income adjustment 专业术语consistency 一贯性substance over form 实质重于形式materiality 重要性prudence 谨慎性current asset 流动资产non-current asset 非流动资产round it up, round it down 四舍五入contingent liability 或有负债creditor 债权人rendering of service 提供劳务royalties 版税bonus share 分红股redempte share 赎回股份debenture 债券credit 贷方depreciation 折旧residual value 剩余价值accounting treatment 会计处理accrual concept 权责发生制概念net book value 账面净值straight line method 直线法carrying amount 资产净值（资产－累计折旧－减值）rule of thumb 经验法contribution margin 边际贡献deferred income 递延收入finance lease 融资租赁cash equivalents 现金等价物operating lease 经营租赁capital appreciation 资本增值amortization 分摊incremental budget 增量预算zero based budget 零基预算continuous budget 滚动预算deferred tax 递延税款permanent difference 永久性差异timing difference 时间性差异flow through method 应付税款法events after balance sheet date 资产负债表日后事项return on investment (ROI) 投资回报率profit before interest and tax 息税前利润profit margin 利润率retrospective application 追溯调整法prospective application 未来适用法英文会计报表利润表 INCOME STATEMENT 项目 ITEMS 产品销售收入Sales of products其中：出口产品销售收入Including：Export sales 减：销售折扣与折让Less：Sales discount and allowances产品销售净额Net sales of products 减：产品销售税金Less：Sales tax产品销售成本Cost of sales 其中：出口产品销售成本Including：Cost of export sales产品销售毛利Gross profit on sales 减：销售费用Less：Selling expenses管理费用General and administrative expenses 财务费用Financial expenses其中：利息支出(减利息收入) Including：Interest expenses (minus interest income)汇兑损失(减汇兑收益) Exchange losses(minus exchange gains)产品销售利润Profit on sales 加：其他业务利润Add：profit from other operations营业利润Operating profit 加：投资收益Add：Income on investment加：营业外收入Add：Non-operating income 减：营业外支出Less：Non-operating expenses 加：以前年度损益调整Add：adjustment of loss and gain for previous years利润总额Total profit 减：所得税Less：Income tax 净利润Net profit资产负债表 BALANCE SHEET资产ASSETS 流动资产CURRENT ASSETS 现金Cash on hand 备用金Pretty cash银行存款Cash in banks 有价证券Marketable receivable 应收票据Notes receivable应收帐款Accounts receivable 减：坏帐准备Less：allowance for bad debts 预付货款Prepayments-supplies内部往来Inter-company accounts 其他应收款Other receivables 待摊费用Prepaid and deferred expenses存货Inventories 减：存货变现损失准备： Less：allowance on inventory reduction to market已转未完工生产成本Transferred in production cost transforming一年内到期的长期投资Matured long time investments within a year流动资产合计Total current assets 长期投资： LONG TERM INVESTMENT长期投资Long term investments拨付所属资金Funds to burnchs一年以上的应收款项Accounts receivable over a year 固定资产： FIXED ASSETS固定资产原价Fixed assets-cost 减：累计折旧Less: accumulated depreciation固定资产净值Fixed assets-net value 固定资产清理Disposal of fixed assets融资租入固定资产原价：Fixed assets-cost on financial lease减：融资租入固定资产折旧Less：accumulated depreciation融资租入固定资产净值：Fixed assets-net value on financial lease在建工程： CONSTRUCTION WORK IN PROCESS 无形资产INTANGIBLE ASSETS场地使用权Right to the use of a site 工业产权及专有技术Industrial property right and patents其他无形资产Other intangibles 无形资产合计Total intangible assets其它资产OTHER ASSETS 开办费Organization expenses 递延投资损失Deferred investment筹建期间汇兑损失Exchange losses during organization period losses递延税款借项Debit side of deferred tax 其他递延支出Other deferred expenditures待转销汇兑损益Prepaid and deferred exchange loss 其他递延借款Debit side of other deferred其他资产合计Total other Assets 资产总计TOTAL ASSETS负债及所有者权LIABILITIES AND CAPITAL 流动负债：CURRENT LIABILITIES短期借款Short term loans 应付票据Notes payable 应付帐款Accounts payable内部往来Inter-company accounts 预收货款Items received in advance-supplies应付工资Accrued payroll 应交税金Taxes payable 应付股利Dividends payable其他应付款Other payables 预提费用Accrued expenses职工奖励及福利费用Bonus and welfare funds一年内到期的长期负债Matured long term liabilities within a year其他流动负债Other current liabilities 流动负债合计Total current liabilities长期负债：LONG TERM LIABILITIES 长期借款long term loans 应付公司债Bonds payable 应公司债溢价（折价）Premium on bonds payable（discount）一年以上的应付款项Accounts payable over a year 长期负债合计：Total long term liabilities其他负债： OTHER LIABILITIES 筹建期间汇兑收益Exchange gains during organization period 递延投资收益Deferred investment gains 递延税款贷项Credit side of deferred tax其他递延贷项Credit side of other tax 待转销汇兑收益Prepaid and deferred exchange profit其他负债合计Total other liabilities 负债合计Total liabilities 所有者权益Investor’s equity委托加工材料Materials processed on commission受托代销商品Goods in consignment代管商品物资Good held in our custos 本年支付的进口环节税金Import tax paid this year由企业负责的应收票据贴现Contingent Liability incurred by discounted notes receivable租入固定资产Leasehold fixed assets应付帐款 Trade creditors 应收票据 Notes receivable 预收帐款 Advances from customers应收股利 Dividends receivable 代销商品款 Consignment-in payables 应收利息 Interest receivable 应付工资 Payroll payable 应收帐款 Trade debtors 应付福利费 Welfare payable其他应收款 Other debtors 应付股利 Proposed dividends 坏帐准备 Provision for doubtful debts 应付短期债券 Short-term bonds payable 预付帐款 Prepayment 应交税金 Tax payable应收补贴款 Allowance receivable 其他应交款 Other payable to government待摊费用 Prepaid expenses 其他应付款 Other creditors待处理流动资产损益 Unsettled G/L on current assets 预提费用 Accrued expenses存货 Inventories 一年内到期长期负债 Long term liabilities due within one year存货跌价准备 Provision for obsolete stocks 其他流动负债 Other current liability其他流动资产 Other current 流动负债合计 TOTAL CURRENT LIABILITIES流动资产合计 TOTAL CURRENT ASSETS 长期股权投资 Long term equity investment 应付债券 Bonds payable 长期债券投资 Long term securities investment长期应付款 Long term payable 长期投资减值准备 Provision for long-term investment 住房周转金Housing fund 其他长期负债 Other long term liabilities长期投资合计 TOTAL LONG-TERM INVESTMENT长期负债合计 TOTAL LONG-TERM LIABILITIES 固定资产 Fixed assets累计折旧 Accumulated depreciation 递延税款 Deferred taxation 工程物资 Project material在建工程 Construction in progress 其他负债合计 TOTAL OTHER LIABILITIES固定资产减值准备Imparement 待处理固定资产损益 Unsettled G/L on fixed assets负债合计 TOTAL LIABILITIES 固定资产合计 TOTAL FIXED ASSETS股本 Share capital资本公积 Capital surplus 无形资产 Intangible assets 盈余公积 Surplus reserves开办费 Pre-operating expenses 期初未分配利润 Retained earnings, beginning of the year长期待摊费用 Deferred assets 本年净利润 NET INCOME FOR THE YEAR其他长期资产 Other long term assets 所有者权益合计 TOTAL EQUITIES无形及其他资产合计 TOTAL INTANGIBLE AND ASSETS 资产总计 TOTAL ASSETS 负债及所有者权益总计 TOTAL LIABILITIES AND EQUITY。
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• A-L =Net Assets Held in Trust
May use other funds to account for fiduciary relationships
• Special Revenue Fund – resources available for expenditures • Permanent Fund – maintenance of principal required • Enterprise Fund – special business-type activities
Private Purpose Trust Fund
• Not common in governments • May be either
– Expendable – principal and earnings may be spent – Nonexpendable – principal must be maintained but earnings may be expendable or nonexpendable
Primary Accounting & Reporting Requirements
• Financial Statements
– Statement of Plan Net Assets – Statement of Changes in Plan Net Assets
• Statement of Changes in Plan Net Assets reports additions & deductions • Investments reported at fair value • Capital assets reported at historical cost and depreciated • Look at Harvey Case, Trust Fund
Examples of external fiduciary relationships
• Pension plans • External investment pools • Endowments to finance scholarships for residents of government • Taxes, insurance premiums, & dues withheld from employees pay to be transferred to others • Taxes collected for other governments
Functions of TAF
• • • • • Governments continue to maintain own tax records. Assessments turned over to TAF for collection TAF sends out bills to taxpayers Collections made by TAF Collections distributed to participating governments, less collection fee that goes to government administering the TAF
Trust and Agency (Fiduciary) Funds
Chapter 12
Fiduciary Funds used when
. . . government holds resources in a trust or agency capacity for the benefit of others. • Government or its programs – endowment to finance research program or maintain recreational area • Others, including individuals, other governments, or private organizations
– Receipts must be allocated among several funds – Single expenditure financed by several funds
Tax Agency Funds (TAF)
• Used to combine tax levies from multiple governments in same geographic area • Practice avoids duplicating assessment and collection processes • TAD is a TAF
• Comprehensive examp Funds
• Pension (or Other Postemployment Benefit) Trust Funds • Investment Trust Funds • Private Purpose Trust Funds
Investment Trust Funds
• Used when government invests its own money as well as funds from other governments • Only money of other governments reported in this fund – government’s own money must reported in the funds • Additions are amounts invested by participating governments & investment income • Deductions are withdrawals and investment expenses incurred
Pension Trusts
• Fastest growing funds of most governments • Occasionally run at state level for participating governments (PERS) • Classified as
– Single-employer plans – only one government’s employees in plan – Multiple-employer plans – employees of many governments are participating – may be either
• Agent – multiple single-employer plans combined into single operation • Cost-sharing – one large plan
Pension Accounting Standards
• GASB #25 – Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution Plans • GASB #27 – Accounting for Pensions by State and Local Governmental Employers
OPEB Accounting Standards
• GASB #43 – Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans • GASB #45 – Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions
Allowable uses of Agency Funds
• “Pure” pass-through grants – government serves only as a cash conduit (use of AF mandated by GASB) • Payroll deduction collection & payments • Imprest checking account
Agency Funds
• Conduit or clearinghouse funds established to account for assets received for and paid to other funds, individuals, or organizations • Only used for assets held for the benefit of others