Detail Three Common Currency-Adjustment Pitfalls   Oleh:  Spencer, Scott L. Jenis: Article from Bulletin/Magazine Dalam koleksi: Journal of Accountancy vol. 213 no. 2 (Feb. 2012), page 30-35. Topik: Accounting; Foreign-Currency; Financial Reporting; Ketersediaan Perpustakaan Pusat (Semanggi) Nomor Panggil: JJ85.32 Non-tandon: 1 (dapat dipinjam: 0) Tandon: tidak ada     Lihat Detail Induk Isi artikel Although the rules on accounting for foreign-currency translations have not changed in many years, mistakes in this area persist. Such mistakes can result in misstatements in financial reporting, hurting the bottom line, creating false understandings of business results, and exposing companies to possible regulatory scrutiny. A key factor raising the stakes in foreign-currency reporting is the fact that US companies are increasingly looking offshore for growth. This article examines threefrequent mistakes that accountants make regarding the reporting of foreign currencies. Avoiding these pitfallscan make a big difference to companies' financial statements. The three commonmistakes are: 1. hiding foreign-currency gains and losses in other comprehensive income instead of recognizing them in net income, 2. preparing the consolidated statement of cash flows based on amounts reported in the consolidated balance sheets, and 3. failing to recognize the need to modify accounting for foreign-currency translations in highly inflationary environments. The threeways to mitigate the risk of misstatement are: 1. Adopt understandable accounting policies. 2. Scrutinize the system. 3. Implement adequate internal controls. Opini Anda Klik untuk menuliskan opini Anda tentang koleksi ini! Kembali

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