Finacial Accounting

Description

Question #1

Consider this scenario: Your company is interested in using cloud computing from a third-party vendor for all of its software purchases. Your boss wants you to make a recommendation about the accounting treatment of software purchased through a cloud environment. To successfully complete this question, you will need to research the accounting treatment for cloud computing software purchases.

In a post of no more than two to three paragraphs, please directly address the following:

Recommend the primary way you would properly account for the related costs. Be sure to provide support for your recommendation.

Question #2

To successfully complete this question, you will need to go to the FASB website and search for information on revenue recognition.

In a post of no more than two to three paragraphs, please directly address the following:

Analyze at least two major differences regarding revenue recognition between IFRS and GAAP. Recommend one strategy to resolve such differences. Support your recommendation with at least two examples of the successful implementation of this strategy.

Question #3

When one company acquires another, it’s critical to determine whether or not the acquiring company “controls” the investee.

In a post of no more than 2 to 3 paragraphs, please directly address the following:

Compare/contrast how GAAP and IFRS define control. Describe one limitation of each definition.