| Description |
1 online resource (243 pages) |
| Contents |
Cover; Half Title; Title; Copyright Page; Contents; Preface; About the Author; Chapter 1: Time value of money and its applications; Accounting Applications; Fair Value Measurements; The Fair Value Hierarchy; Risk and Restrictions; The Difference between the Principal Market and the Most Advantageous Market; Valuation Approaches; The Three Levels of Fair Value Hierarchy; Financial Applications; Time Value Fundamentals; How Do You Calculate Future Values? -- How Money Grows; Simple Interest; Compound Interest; Intrayear Compounding; The Power of Compounding; Future Value of an Annuity |
|
Ordinary AnnuityAnnuity Due; Future-Value Difference between Ordinary Annuity and Annuity Due; Can a Computer Help?; What is Present Value -- How Much Money is Worth Now?; An Application; Present Value of Mixed Streams of Cash Flows; Present Value of an Annuity; Ordinary Annuity (OD); Annuity Due (AD); Present-Value Difference between Ordinary Annuity and Annuity Due; Can a Computer Help?; Perpetuities; Deferred Annuities; Future Value of a Deferred Annuity; Present Value of a Deferred Annuity; What are the Applications of Future Values and Present Values? |
|
Deposits to Accumulate a Future Sum (or Sinking Fund)Amounts of periodic withdrawals; Determining the Number of Periods Required; Can a Computer Help?; Computing Interest Rate; Can a Computer Help?; Amortized Loans; Lease Payments; Can a Computer Help?; How to Develop Loan Amortization Schedule; Annual Percentage Rate (APR); Rates of Growth; Bond Valuation; Effective-Interest Method of Amortization of Bond Discount or Premium; Bond Yields and Internal Rate of Return; Can a Computer Help?; Stock Valuation; Single Holding Period; Multiple Holding Period; (a) Zero Growth Case |
|
(B) Constant Growth CaseDiscounted Cash Flow (DCF) Techniques; Net Present Value; Internal Rate of Return; Can a Computer Help?; Lease versus Purchase Decision; Buy versus Lease Evaluation Report; Can a Computer Help?; Expected Cash Flow Model; Choosing an Appropriate Discount Rate; Cost of Debt; Cost of Common Stock; Cost of Retained Earnings; Computing the Overall Cost of Capital; Conclusion; Chapter 2: Fair Value Accounting; Fair Value Principle; Using Cash Flow Information and Present Value in Accounting (SFAC No. 7); Present Value Measurement; Liabilities; Interest Methods |
|
Fair Value MeasurementsThe Hypothetical Transaction; The Principal (or Most Advantageous) Market; Market Participants; Highest and Best Use; Valuation Techniques; Fair Value Hierarchy; Fair Value Disclosures; Fair Value Option for Financial Assets and Financial Liabilities; Allowed Items; Disallowed Items; Electing the Fair Value Option and Election Dates; Events; Instrument Application; Balance Sheet; Income Statement; Statement of Cash Flows; Sample Application of ASC 820-10-25 (FAS-159); Disclosures; Eligible Items at Effective Date; Available-for-Sale and Held-to-Maturity Securities |
| Summary |
Fair values are more common in financial reports because fair values have increased inbusiness importance in recent years. Increasingly elaborate financial instruments andrisk management practices have created financial statement elements for whichhistorical cost is almost irrelevant, and fair value, and fluctuations in fair value, areextremely relevant. According to the FASB's recent guidance on fair value measurements ASC820-10-5 (FAS-157, Fair Value Measurements), Level 3 hierarchy accepts fair values estimates based on present value of expected future cash flows. Furthermore, CPAs must have |
| Notes |
Not-For-Profit Organizations |
|
Print version record |
| Subject |
Fair value -- Accounting.
|
|
Valuation.
|
|
BUSINESS & ECONOMICS -- Accounting -- Financial.
|
|
Fair value -- Accounting
|
|
Valuation
|
| Form |
Electronic book
|
| ISBN |
9781908287243 |
|
1908287241 |
|
