财务会计理论（第6版）威廉·R·斯科特-scott_6e_PPT_ch07.pptVIP

* William R. Scott: I suggest class discussion of Lev Zarowin’s 1999 paper. This paper is readable and lays out the problems of accounting for self-developed goodwill very insightfully. I base class discussion on the following slides. Copyright ? 2012 Pearson Canada Inc 7 - * Chapter 7 Financial Accounting TheorySixth EditionWilliam R. Scott Measurement Applications 7 - * Chapter 7Measurement Applications 7 - * 7.2 Current Value Accounting Value-in-use Discounted present value of future receipts Relevance: high Reliability: Error and possible bias in estimating management may change intended use Concept of Business Model in IFRS 9 May value certain financial assets at value-in-use if firm’s business model is to hold the assets to generate future cash flows from interest and principal Controls management ability to change intended use Continued Current Value Accounting (continued) Fair value Exit price: Ideally, market value, but market incompleteness complicates Fair value hierarchy Level 1 Level 2 Level 3 Effect on reliability as move from level 1 to levels 2 and 3? Exit price measures opportunity cost of retaining asset/liability in firm hence stewardship aspect 7 - * 7 - * 7.3 Longstanding Measurement Examples Accounts receivable and payable Approximates value-in-use if time is short Amortized cost Present value, using effective interest rate E.g., long-term debt Lower-of-cost-or-market rule Inventories Rule is example of conservativism, also a partial application of current value accounting Continued Longstanding Measurement Examples (continued) Revaluation option for property, plant equipment Option to value at fair value Not available under FASB standards Ceiling tests E.g., property, plant equipment Valued at recoverable amount if less than book value An example of conservatism, also a partial application of current value accounting Post-employment benefits Valued at present value 7 - * 7 - * 7.4 Financial Instruments