Acct 387 - Chapter 181 Investments In general, investments in debt and equity securities are categorized as three types: Held to maturity (debt securities.

Slides:

Advertisements

Similar presentations

MANAGEMENT DECISIONS AND FINANCIAL ACCOUNTING REPORTS

Advertisements

Chapter 9--Learning Objectives

1 Investments Sid Glandon, DBA, CPA Associate Professor of Accounting The University of Texas at El Paso.

Investments in Equity Securities Presentations for Chapter 8 by Glenn Owen.

Reporting and Analyzing Intercorporate Investments

Copyright © 2007 by The McGraw-Hill Companies, Inc. All rights reserved. Investments 12.

Copyright © 2007 by The McGraw-Hill Companies, Inc. All rights reserved. Reporting and Interpreting Investments in Other Corporations Chapter 12.

Appendix D Investments in Other Corporations © 2009 The McGraw-Hill Companies, Inc.

Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin Appendix D Investments in Other Corporations PowerPoint Authors:

13 Investments and Fair Value Accounting

Chapter 18 Investments Debt Securities Equity Securities.

Mergers, Acquisitions, and Other Inter- corporate Investments.

BUS780 Chapter 11 Marketable Securities, Derivatives and Investments.

1 Investments ACCTG 5120 David Plumlee. page2 Financial Instruments Any contract that Imposes on a 1st entity on potentially unfavorable terms with 2nd.

© Copyright D Hillman Investments in Stocks and Bonds.

Chapter 9  Investments. Chapter 9Mugan-Akman Investments Idle cash Strategic investments Financial instruments –Equity instruments (stocks)

© 2004 The McGraw-Hill Companies, Inc. McGraw-Hill/Irwin Chapter 12 Investments.

12-1 PowerPoint Authors: Susan Coomer Galbreath, Ph.D., CPA Charles W. Caldwell, D.B.A., CMA Jon A. Booker, Ph.D., CPA, CIA Cynthia J. Rooney, Ph.D., CPA.

PowerPoint Authors: Susan Coomer Galbreath, Ph.D., CPA Charles W. Caldwell, D.B.A., CMA Jon A. Booker, Ph.D., CPA, CIA Cynthia J. Rooney, Ph.D., CPA Copyright.

© 1999 by Robert F. Halsey Agenda Items to be covered: Equity investments Debt investments.

Investments in Stocks and Bonds of Other Companies Chapter 23.

Concepts of Equity Method. - 1 ACCOUNTING FOR VARIOUS INVESTMENTS Classification Investment in Debt Securities Investment in Equity Securities Control-greater.

Module 6 Reporting and Analyzing Intercorporate Investments.

Investments Sid Glandon, DBA, CPA Assistant Professor of Accounting The University of Texas at El Paso.

Accounting Clinic III.

4/20/2017 Chapter 12 Investments.

Investments in Debt and Equity Securities. TEMPORARY INVESTMENTS  Use of idle cash  Low risk investments  Quickly and easily converted to cash  Securities.

McGraw-Hill /Irwin© 2009 The McGraw-Hill Companies, Inc. INVESTMENTS Chapter 12.

Chapter 4 Investments.

BUS 120: Financial Accounting Chapter 13: Investments

Chapter 17: Investments Intermediate Accounting, 11th ed.

Reporting and Interpreting Investments in Other Corporations Chapter 12 McGraw-Hill/Irwin © 2009 The McGraw-Hill Companies, Inc.

McGraw-Hill /Irwin© 2009 The McGraw-Hill Companies, Inc. INVESTMENTS Chapter 12.

John Wiley & Sons, Inc. © 2005 Chapter 17 Investments Prepared by Naomi Karolinski Monroe Community College and and Marianne Bradford Bryant College Accounting.

1InvestmentsInvestments C hapter Explain the classification and valuation of investments. 2. Account for investments in debt and equity trading.

Chapter 10 Investments. Learning Objectives 1.Identify why companies invest in debt and equity securities and classify investments 2.Account for investments.

Chapter 16-1 CHAPTER 16 INVESTMENTS. Chapter 16-2 Valuing and Reporting Investments Categories of Securities Companies classify debt and stock investments.

1. Relate to investments which: a. Have a readily determinable “fair value” 1) Defined: sale price available on a securities exchange registered with.

© The McGraw-Hill Companies, Inc., 2002 Slide 16-1 McGraw-Hill/Irwin 16 Long-Term Investments and International Transactions.

© McGraw-Hill Ryerson Limited, 2003 McGraw-Hill Ryerson Chapter 12 Reporting and Interpreting Investments in Other Companies.

Investments and International Operations Appendix B Copyright © 2007 Prentice-Hall. All rights reserved.

PowerPoint Authors: Susan Coomer Galbreath, Ph.D., CPA Charles W Caldwell, D.B.A., CMA Jon A. Booker, Ph.D., CPA, CIA Cynthia J. Rooney, Ph.D., CPA APPENDIX.

Accounting Clinic III McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

Investments Group #4 Bajacan, Karla Mae Carlos, Juan Paolo Castro, Patrick Lu, Enrico Rafael.

MANAGEMENT DECISIONS AND FINANCIAL ACCOUNTING REPORTS Baginski & Hassell Electronic presentation adaptation by Dr. Barbara L. Hassell & Dr. Harold O. Wilson.

1 CHAPTER 23 INVESTMENTS IN STOCKS AND BONDS OF OTHER COMPANIES.

Chapter 17: Investments 1. 2 Investment in Marketable Equity Securities - Overview Equity investments represent ownership of another company’s outstanding.

Investments Chapter 17 Accounting Principles, 7th Edition

PowerPoint Authors: Susan Coomer Galbreath, Ph.D., CPA Charles W Caldwell, D.B.A., CMA Jon A. Booker, Ph.D., CPA, CIA Cynthia J. Rooney, Ph.D., CPA APPENDIX.

COPYRIGHT © 2007 Thomson South-Western, a part of The Thomson Corporation. Thomson, the Star logo, and South-Western are trademarks used herein under license.

©CourseCollege.com 1 19 Investments Learning Objectives 1.Account for Trading Investments 2.Account for Debt Investments 3.Account for Stock Investments.

Chapter 16-1 CHAPTER 16 INVESTMENTS Accounting Principles, Eighth Edition.

Invest Investments – Debt and equity (long-term, short-term)

Chapter 13: Investments Fundamentals of Intermediate Accounting

Investments in Other Corporations

A Accounting for Investments Principles of Accounting 12e APPENDIX

Chapter 17: Investments Intermediate Accounting, 11th ed.

ACCOUNTING FOR VARIOUS INVESTMENTS

Chapter 12 Investments.

Chapter 18: Investments Intermediate Accounting, 10th Edition

Chapter 17: Investments Intermediate Accounting, 11th ed.

C H A P T E R 17 INVESTMENTS Intermediate Accounting 13th Edition

Investments in Debts and Equity Securities

significant influence

Financial Accounting, 3e Weygandt, Kieso, & Kimmel

C 14 hapter Investments

An electronic presentation Pepperdine University

Investments and Fair Value Accounting

© 2015 Pearson Education, Limited.

Presentation transcript:

Acct Chapter 181 Investments In general, investments in debt and equity securities are categorized as three types: Held to maturity (debt securities only) - securities that will be held until they mature and principal will be repaid; enterprise must demonstrate positive intent and ability to hold to maturity. Trading - bought and held primarily for sale in the near term to generate income on short-term price differences; often help for a matter of days Available for sale - securities not categorized as the other two.

Acct Chapter 182 Debt Securities

Acct Chapter 183

4 Available for Sale and Other Comprehensive Income Unrealized losses are included as a component of comprehensive income and are shown on the balance sheet in the stockholder's equity section. When an unrealized gain/loss becomes realized, it goes into net income. Thus it has to be removed from unrealized gains/losses. Thus there are essentially 2 components to the comprehensive income adjustment: (1) holding gains/losses during period and (2) previously recognized holding gains/losses that were realized this year.

Acct Chapter 185 Equity Method Use when you have influence which is presumed at 20% ownership. Try to make your balance in account equal your proportionate share of investee's equity. Treat your share of investee's income as investment income. Treat dividends as a reduction of investment. Amortize difference paid over investee's book value

Acct Chapter 186 Consolidation If you own over 50%, consolidate the records of the two companies when preparing financials Still use equity method on parent's books

Acct Chapter 187 Transfers between Categories All transfers are at market value. Gains and losses recognized in income for transfers between available for sale and trading or back. When transferring from held to maturity to available for sale, transfer at fair value, but take unrealized gain/loss directly to equity. When transferring for available for sale to held to maturity, transfer at fair value and amortize unrealized gain/loss over remaining life.