Accounting Standards Codification – Accounting Memo

Accounting Memo

 Please prepare a well-organized, professionally-presented memo (that’s it for formatting guidance…the exact format is up to you). Please imagine yourself as a Public Accounting Staff member. The Partner on the engagement has asked you to write a 1-2 page memo summarizing a scenario, the FASB ASC (Accounting Standards Codification) guidance pertaining to the scenario, and how YOU propose the client account for the scenario. Please remember the Partner is very busy and will only read 1-2 pages. The Partner needs to be able to quickly read the memo, understand the issue, and how the issue should be addressed. The Partner needs to know how the ASC supports the recommendation that he/she will present to the client.

Please remember the Partner will not have other documents to support this accounting memo, so there must be enough information in the memo that someone can read it. Understand the situation completely, understand what the guidance suggests, and understand your recommendation. We call this, “stand alone” document. It can stand on its own and contains all necessary information. Recommended formatting:1) Introduction paragraph – Include a summary of the case. Please include enough information that someone can understand the scenario without you explaining it to them in a conversation. 2) Body paragraphs – Answer the questions in the case, but in a professional, memo format.

Further Instructions

Please do not copy/paste the question and simply write a response. We are preparing for the real-world, so please move away for only focusing on answering the question presented. Please begin thinking of the scenario overall and the big picture. The body paragraphs should include relevant snippets of ASC guidance that support the case. Also include your recommendation of how to account for the scenario. You should include the ASC breadcrumb trail (for example: Per ASC 323-740-35-2,…) so someone could easily find the guidance in the ASC if they wanted to read the guidance directly.3) Conclusion paragraph – Provide YOUR recommendation of how to account for the scenario. That means you have to commit to specific accounting guidance and finally explain why you believe this is what should be followed.

Attached Files

 |

Powered by WordPress and MagTheme