Now CPAs have a great new value-add option for their small business clients and employers. The AICPA's Financial Reporting Framework (FRF) for Small and Medium-Sized Entities (SMEs) is a streamlined and robust non-GAAP reporting option suited for privately-held, small to medium-sized companies. In this course, you will experience a practical overview of FRF for SMEs to help you apply the framework, including the form, content and disclosures that apply to most SMEs. As a result of understanding and applying the FRF for SMEs, you may look forward to additional opportunities to help small business owners make better-informed decisions and plot the entity’s future strategy with decipherable financial statements.
- Financial Statement Concepts and the foundation for reporting under the FRF for SMEs
- Advantages of Using FRF for SMEs
- Transitioning from GAAP to FRF for SMEs
- Accounting for Inventories and Investments
- Accounting for Revenue, Leases and Income Taxes
- Accounting for Related Party Transactions and Subsidiaries
When you complete this course you will be able to:
- Describe the fundamentals underlying FRF for SMEs, including the components of a complete set of financial statements.
- Account for business combinations under FRF for SMEs, including the determination of goodwill.
- Apply amortization methods and periods for goodwill and intangible assets.
- Recognize the accounting policy elections available for investments under FRF for SMEs.
- Apply methods of accounting to investments.
- Distinguish among the different types of leases from the perspective of lessees and lessors.
- Effectively transition to FRF for SMEs from other bases of accounting.
- Recognize when and how to apply "push-down" accounting.
- Recite other less frequently encountered reporting matters under FRF for SMEs.
Prerequisite: Ability to prepare GAAP financial statements and evaluate financial statement disclosures
Advanced Preparation: None