The benefits of preparing for GASB 84 now

In January 2017, the Governmental Accounting Standards Board (GASB) issued the final standard on identifying and reporting fiduciary activities under Statement No. 84. While GASB 84 is not effective until reporting periods beginning after December 15, 2018, application of the standard should be retrospectively applied, if practicable, to all periods presented. Therefore, if comparative financial …

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U.S. company’s big payout to the SEC

Why is a U.S.-based wire and cable making company paying out $6.5 million in penalties to settle accounting violations with the Securities and Exchange Commission (SEC), in addition to more than $75 million to resolve allegations? General Cable Corporation has been in violation of the Foreign Corrupt Practices Act. The company’s overseas subsidiaries had been …

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Auditee requirements under Uniform Guidance related to audit findings

Auditee responsibilities under Uniform Guidance § 200.511 establishes reporting requirements related to follow-up of prior year audit findings and corrective action for all current year audit findings. Effective in November 2015, auditees are required to prepare a summary schedule of prior audit findings, and a corrective action plan for current year audit findings. The summary …

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Making the financial close process smoother

The financial close process is used to prepare the financial data of a company for financial statement presentation. The process centers on finalizing account balances in order to display financial data in the proper accounting period. It can be a complex process and usually involves many different employees, systems and processes within a company. There …

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Statement of Cash Flows Updates

On August 26, 2016, the FASB issued Accounting Standard Update 2016-15, Statement of Cash Flows (Topic 230). The new guidance is intended to reduce diversity in practice in how certain cash inflows and cash outflows are presented in the statement of cash flows. This update provides guidance on the following eight topics: Debt prepayment or …

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Understanding Government and Nonprofit Auditing Risks

School districts, townships, municipalities and special districts make up roughly 90,000 local government entities throughout the United States that require an audit by a CPA firm. Additionally, more than 1.5 million tax-exempt organizations in the U.S. also require an audit at year-end. Audits of these types of organizations require planning, testing, and reporting requirements to …

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Financial statement requirements for franchisors

If you’re looking to start a franchise, be sure to look into all rules and requirements set by the Federal Trade Commission, or FTC. There are many items required to stay in compliance. Providing audited financial statements is one of those. Here is a brief overview of the financial statement requirements for U.S. – domestic …

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Creating an Error-Free Budget

Alright, I’ll admit the title of this article is rather deceiving. Unless you’re just a naturally lucky accountant or a psychic, chances are you will have errors in your budget causing you to go over or under the projected budgeted amounts from the beginning of the year. I wish I had better news for you; …

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Everything You Need to Know: Gifts In-Kind

Nonprofit organizations collect many different types of support from donors, which are not always cash gifts. When an organization receives gifts of goods or services, it may lead to questions. How and when do gifts in-kind get recorded? What are gifts in-kind? Gifts in-kind are donations of tangible and intangible individual property and contributions of …

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Engaging Younger Citizens Through Technology

A hot topic for many governmental entities these days is how to engage their citizens. Many governments are looking to technology to engage the younger generations of citizens including millennials. The choices in technology are based on a number of factors including the availability of resources, the community’s appetite for engagement and the motivation of …

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