Accounting Discussion 1,2 - Finding the authoritative sources

Accounting

Discussion Question One:

Finding the authoritative sources of information in any field is critical. Use these links to see what is available to you in accounting:

www.fasb.org/home

www.sec.gov

www.ifrs.org

Using these sites and the text information, discuss the role of the authoritative bodies in the United States, the Financial Accounting Standards Board and Securities Exchange Commission, that are responsible for establishing Generally Accepted Accounting Standards and related regulations and practices for financial reporting. 

· What kinds of information do you find on each of their websites above?

· What does IFRS stand for and how does it compare to GAAP?

· What kinds of information do you find on that website?

Discussion Question Two:

Inventory is a critical asset for retailers. Retail firms are at risk that their inventory will become obsolete. 

· What does obsolete mean?

· Talk with a local retailer in your area and tell us about what they say they do to minimize this risk?

· Describe how they should account for the loss from that obsolescence.