IFRS, Fair Value and Corporate Governance : The Impact on Budgets, Balance Sheets and Management Accounts.
Başlık:
IFRS, Fair Value and Corporate Governance : The Impact on Budgets, Balance Sheets and Management Accounts.
Yazar:
Chorafas, Dimitris N.
ISBN:
9780080461663
Yazar Ek Girişi:
Fiziksel Tanımlama:
1 online resource (497 pages)
İçerik:
Cover -- IFRS, Fair Value and Corporate Governance -- Contents -- Preface -- Selected Abbreviations -- Part 1: Business Competition, Standards Boards and Corporate Accounting -- New Rules of Competition and Accounting Standards -- Introduction -- The financial industry's raw materials -- The crucial issue of global accounting standards -- The prudential principle of financial statements and marking to market -- Managing the differences in accounting standards: a case study -- Taking liberties with accounting standards and business rules -- The International Accounting Standards Board and Corporate Governance -- Introduction -- Service to industry by the International Accounting Standards Board -- The seminal work of Luca Paciolo: a flashback -- Journal, general ledger, and contractual rights -- Higher level of reliability in financial reporting -- Obsolete standards become counterproductive -- Core variables in corporate governance -- Accounting standards and corporate governance: a case study in insurance -- Dynamics of International Financial Reporting Standards -- Introduction -- Positive and negative opinions on IFRS -- Disclosure about capital and fair value -- IFRS requirements for maximum and minimum risk disclosure -- The greater transparency provided by IFRS -- Regulators, more stringent accounting standards, and early aftermath of IFRS -- The Controversy over IAS 39 -- Introduction -- Financial instruments defined according to IAS 39 and IAS 32 -- Recognition and derecognition of assets and liabilities -- Assets available for sale under IAS 39: results of a simulation -- The challenge of fair value and the IAS 39 controversy -- The March and July 2005 Draft of IAS 39 -- IAS 39 and the Recognition of Derivatives Risk -- Introduction -- AIS 39's approach to hedges made through derivatives -- The art of hedge accounting.
Being prudent with embedded derivatives -- IAS 39 as an agent of risk management -- IAS 39 and alternative investments: a case study -- Closing the loophole of hedge funds -- Part 2: Implementing IFRS -- Project Management for Implementation of IFRS -- Introduction -- Prerequisites for a successful IFRS project -- The role of project management -- Milestone planning for IFRS -- Design reviews for better project management -- Paying attention to cost control -- An IFRS Task Force Case Study. Top Management Responsibility -- Introduction -- The Task Force's chairperson, membership, and work schedule -- The impact of communication and of case studies -- Assuring compliance to IFRS standards -- Learning to live in a world populated with models -- Using the new accounting system to improve personal productivity -- Part 3: Management Accounting and the Budget -- Management Accounting and Corporate Governance -- Introduction -- Management accounting defined -- Management organization and sought-out results -- What should and should not be expected from an expert accountant? -- Why financial reporting and management accounting correlate -- Impact of subjective judgment on accounting figures -- Effective use of management accounting: a case study on cost-finding -- Budgeting: A Case Study on Financial Planning -- Introduction -- The budget as financial information system -- Analysis of financial information -- Elaboration and upkeep of a budget -- Practical experience in setting a budget -- A case study with the budgetary bandwidth method -- Qualitative factors, quantitative parameters and break-even -- Insight provided by budget analysis -- Valuing Assets: The Challenge of Being 'Right' -- Introduction -- Tracing fair value accounting to its origins -- New rules are the aftermath of financial markets developments -- LOCOM and Replacement Value.
Taking advantage of vision provided by fair value 'plus' -- A case study on differences between IFRS and US GAAP -- Contrary opinions on IFRS and cherry-picking -- What the critics forget: top management's accountability -- Business Ethics Add Value to Financial Disclosures -- Introduction -- Stamping out the practice of creative accounting -- The application of the Sarbanes-Oxley Act in the United States -- Transparency is the best disinfectant: a case study with WorldCom -- Off-balance sheet and proforma are creative accounting practices -- Expensing stock options is good business ethics -- Companies respecting themselves account for all their expenses -- Forward-Looking Statements, Models, Earnings, and Goodwill -- Introduction -- Forecasters and Forecasts -- Forward-looking statements require lots of experimentation -- Measuring earnings: uncertainty and bias of current metrics -- The Regulation of Goodwill and Goodwill Impairment -- Assessing real estate prices in the housing market: a case study -- Models for fair value estimates of real estate -- Part 4: Corporate Governance and the Balance Sheet -- Balance Sheets and Income Statements as Management Tools -- Introduction -- Assets defined -- Liabilities defined -- Modelling the balance sheet -- The profit and loss statement -- B/S and P&L complement one another -- Financial planning, cash flow, and book value -- Accuracy, transparency, and the market's perspective -- Economic Capital Is on Both Sides of the Balance Sheet -- Introduction -- Paciolo's Balance Sheet Needs Thorough Revisiting -- Regulatory and Economic Capital Are Made Up of Both Assets and Liabilities -- Contradictions in market discipline: a case study with loans provisions -- Facing the challenge of procyclicality through economic capital -- The capital buffer solution -- Corporate-wide risk management.
The Real-Time Management Report -- Introduction -- 'What-if' experimentation with balance sheets -- Analytics is a polyvalent methodology -- Virtual balance sheet and budget vs actual -- The pervasive nature of financial information -- Watching over position risk -- Real-time access to satisfy new Basel directives: SFTs, CCRs and more -- The new rules of governance require a paradigm shift -- Internal Control, Stress Testing, and Effective Risk Management -- Introduction -- Enterprise risk and style of management -- Stress testing cost and risk and return -- Stress testing and standards fatigue -- Stress testing is a holistic methodology -- Relative risk and relative capital -- Synergy between fair value accounting and risk management -- Learning a lesson from the bankruptcy of the Rolls-Royce of hedge funds -- The Role of the Audit Committee -- Introduction -- An Audit Committee's charter -- Auditing and the auditor connection -- The auditing of internal control -- Auditing and risk management correlate -- The major responsibility of Audit Committee members is a steady watch -- Index.
Özet:
Written for managers and professionals in business and industry, this book helps the reader in: * Understanding what is and is not IFRS * Learning the complexities of IFRS implementation * Appreciating the contribution of IFRS to corporate governance The changeover from the mosaic of different heterogeneous national accounting standards to the International Financial Reporting Standards has not been easy. For many companies IFRS, and most particularly the concept of fair value in IAS 39, has amounted to a phase shift - which is prerequisite to achieving compliant financial reporting. The research conducted by Dr. Chorafas for this book, documented that the process of meeting IFRS requirements presents opportunities and challenges to all enterprises. As many companies have found out, abandoning the classical accruals accounting for marking-to-market their transactions and portfolio positions, has not been easy. The conversion process has affected several functions within the organization including balance sheets, P&L statements, auditing, risk control, information systems, and management accounting. This book is in made up of four parts: * Part One focuses on business competition, standards boards, corporate accounting, and IAS 39 * The theme of Part Two, is the implementation of IFRS, exemplified through case studies on task forces and practical applications * Part Three brings together IFRS and management accounting requirements, with emphasis on fair value. * Part Four addresses itself to the contribution IFRS can make to better corporate governance, and to rebuilding the balance sheet The book has many case studies based on actual experiences. These range from the implementation of IFRS directives such as hedge accounting, to developing practices of real-time balance sheets; the help provided by sophisticated accounting solutions help in
stress testing; and a comprehensive definition of the role of the audit committee. * A clear and practical view of the complexities of IFRS implementation * Includes practical case studies from real-life companies going through the process * Pays particular attention to IAS 39 on Fair Value.
Notlar:
Electronic reproduction. Ann Arbor, Michigan : ProQuest Ebook Central, 2017. Available via World Wide Web. Access may be limited to ProQuest Ebook Central affiliated libraries.
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