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Boundless Lecture Slides

Boundless Lecture Slides. Available on the Boundless Teaching Platform. Free to share, print, make copies and changes. Get yours at www.boundless.com. Using Boundless Presentations. Boundless Teaching Platform

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Boundless Lecture Slides

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  1. Boundless Lecture Slides Available on the Boundless Teaching Platform Free to share, print, make copies and changes. Get yours at www.boundless.com

  2. Using Boundless Presentations Boundless Teaching Platform Boundless empowers educators to engage their students with affordable, customizable textbooks and intuitive teaching tools. The free Boundless Teaching Platform gives educators the ability to customize textbooks in more than 20 subjects that align to hundreds of popular titles. Get started by using high quality Boundless books, or make switching to our platform easier by building from Boundless content pre-organized to match the assigned textbook. This platform gives educators the tools they need to assign readings and assessments, monitor student activity, and lead their classes with pre-made teaching resources. Get started now at: • The Appendix The appendix is for you to use to add depth and breadth to your lectures. You can simply drag and drop slides from the appendix into the main presentation to make for a richer lecture experience. http://boundless.com/teaching-platform • Free to edit, share, and copy Feel free to edit, share, and make as many copies of the Boundless presentations as you like. We encourage you to take these presentations and make them your own. If you have any questions or problems please email: educators@boundless.com Free to share, print, make copies and changes. Get yours at www.boundless.com

  3. About Boundless • Boundless is an innovative technology company making education more affordable and accessible for students everywhere. The company creates the world’s best open educational content in 20+ subjects that align to more than 1,000 popular college textbooks. Boundless integrates learning technology into all its premium books to help students study more efficiently at a fraction of the cost of traditional textbooks. The company also empowers educators to engage their students more effectively through customizable books and intuitive teaching tools as part of the Boundless Teaching Platform. More than 2 million learners access Boundless free and premium content each month across the company’s wide distribution platforms, including its website, iOS apps, Kindle books, and iBooks. To get started learning or teaching with Boundless, visit boundless.com. Free to share, print, make copies and changes. Get yours at www.boundless.com

  4. Approaches to Investment Accounting Valuation and Reporting of Investments in Other Corporations Debt Held to Maturity Debt for Sale Holding Less than 20% of Shares ] Holding 20-50% of Shares Valuation and Reporting of Investments in Other... Free to share, print, make copies and changes. Get yours at www.boundless.com

  5. Holding More than 50% of Shares (Ownership) Valuation and Reporting of Investments in Other Corporations(continued) ] Valuation and Reporting of Investments in Other... Free to share, print, make copies and changes. Get yours at www.boundless.com

  6. Valuation and Reporting of Investments in Other... > Approaches to Investment Accounting Approaches to Investment Accounting • Types of Investments: Dependence on Ownership Share • Accounting Methodologies: Amortized Cost, Fair Value, and Equity Free to share, print, make copies and changes. Get yours at www.boundless.com www.boundless.com/accounting/textbooks/boundless-accounting-textbook/valuation-and-reporting-of-investments-in-other-corporations-8/approaches-to-investment-accounting-55/

  7. Valuation and Reporting of Investments in Other... > Debt Held to Maturity Debt Held to Maturity • Amortized Cost Method • Accounting for Interest Earned and Principal at Maturity Free to share, print, make copies and changes. Get yours at www.boundless.com www.boundless.com/accounting/textbooks/boundless-accounting-textbook/valuation-and-reporting-of-investments-in-other-corporations-8/debt-held-to-maturity-56/

  8. Valuation and Reporting of Investments in Other... > Debt for Sale Debt for Sale • Accounting for Sale of Debt • Accounting for Sale of Stock • Assessing Fair Value Free to share, print, make copies and changes. Get yours at www.boundless.com www.boundless.com/accounting/textbooks/boundless-accounting-textbook/valuation-and-reporting-of-investments-in-other-corporations-8/debt-for-sale-57/

  9. Valuation and Reporting of Investments in Other... > Holding Less than 20% of Shares Holding Less than 20% of Shares • Fair Value Method • Calculating Fair Value • Reporting Fair Value Free to share, print, make copies and changes. Get yours at www.boundless.com www.boundless.com/accounting/textbooks/boundless-accounting-textbook/valuation-and-reporting-of-investments-in-other-corporations-8/holding-less-than-20-of-shares-58/

  10. Valuation and Reporting of Investments in Other... > Holding 20-50% of Shares Holding 20-50% of Shares • Equity Method • Assessing Control • Reporting Equity Investments Free to share, print, make copies and changes. Get yours at www.boundless.com www.boundless.com/accounting/textbooks/boundless-accounting-textbook/valuation-and-reporting-of-investments-in-other-corporations-8/holding-20-50-of-shares-59/

  11. Valuation and Reporting of Investments in Other... > Holding More than 50% of Shares (Ownership) Holding More than 50% of Shares (Ownership) • Reporting for a Combined Entity Free to share, print, make copies and changes. Get yours at www.boundless.com www.boundless.com/accounting/textbooks/boundless-accounting-textbook/valuation-and-reporting-of-investments-in-other-corporations-8/holding-more-than-50-of-shares-ownership-60/

  12. Appendix Free to share, print, make copies and changes. Get yours at www.boundless.com

  13. Valuation and Reporting of Investments in Other... Key terms • acquisitionThe thing acquired or gained; a gain. • available-for-salesecurities that do not qualify as "held-to-maturity" or as a "trading security" • book valueThe value of an asset as reflected on an entity's accounting books, net of depreciation, but without accounting for market value appreciation. • dividendA pro rata payment of money by a company to its shareholders, usually made periodically (eg, quarterly or annually). • eminent domain(US) The right of a government over the lands within its jurisdiction. Usually invoked to compel land owners to sell their property in preparation for a major construction project such as a freeway. • face valueThe amount or value listed on a bill, note, stamp, etc.; the stated value or amount. • fair market valueThe price at which the buyer and seller are willing to do business. • fair market valueThe price at which the buyer and seller are willing to do business. • fair valueFair value, also called "fair price" (in a commonplace conflation of the two distinct concepts) is a concept used in accounting and economics, defined as a rational and unbiased estimate of the potential market price of a good, service, or asset. • FASBThe Financial Accounting Standards Board (FASB) is a private, not-for-profit organization whose primary purpose is to developgenerally accepted accounting principles (GAAP) within the United States in the public's interest. • Held-to-maturityany security that an investor intends to retain until its term expires • impairmentA downward revaluation, a write-down. Free to share, print, make copies and changes. Get yours at www.boundless.com

  14. Valuation and Reporting of Investments in Other... • InterestThe price paid for obtaining, or price received for providing, money or goods in a credit transaction, calculated as a fraction of the amount of value of what was borrowed. • journal entryA journal entry, in accounting, is a logging of transactions into accounting journal items. The journal entry can consist of several items, each of which is either a debit or a credit. The total of the debits must equal the total of the credits or the journal entry is said to be "unbalanced. " Journal entries can record unique items or recurring items, such as depreciation or bond amortization. • maturityDate when payment is due • maturityDate when payment is due • maturity datethe date on which a principal amount of a note, draft, acceptance bond, or other debt instrument becomes due or payable • minority interestOwnership between 20-50% in an organization. • mutual fundsA mutual fund is a type of professionally-managed collective investment vehicle that pools money from many investors to purchase securities. • par valueThe amount or value listed on a bill, note, stamp, etc.; the stated value or amount. • Pension fundsA pension fund is any plan, fund, or scheme which provides retirement income. • preferredPreferred stock. • prima facieat first sight; on the face of it • pro forma incomea statement of the company's revenue while excluding "unusual and nonrecurring transactions" when stating how much money the company actually made Free to share, print, make copies and changes. Get yours at www.boundless.com

  15. Valuation and Reporting of Investments in Other... • pro-ratain proportion to some other factor, such as shares owned • return on capitalReturn on capital (ROC) is a ratio used in finance, valuation, and accounting. The ratio is estimated by dividing the after-tax operating income (NOPAT) by the book value of invested capital. • state-owned enterpriseA government-owned corporation, state-owned company, state-owned entity, state enterprise, publicly owned corporation, government business enterprise, commercial government agency,public sector undertaking or parastatal is a legal entity created by a government to undertake commercial activities on behalf of an owner government. • supply vs. demandSupply and demand is an economic model of price determination in a market. It concludes that in a competitive market, the unit price for a particular good will vary until it settles at a point where the quantity demanded by consumers (at current price) will equal the quantity supplied by producers (at current price), resulting in an economic equilibrium of price and quantity. • trading securitiesany financial instrument an investor acquires and intends to resell in the short-term • unrealizedNot realized; possible to obtain, yet not obtained. Free to share, print, make copies and changes. Get yours at www.boundless.com

  16. Valuation and Reporting of Investments in Other... Goodwill Goodwill is an accounting concept meaning the excess value of an asset acquired over its book value due to a company's competitive advantages. Free to share, print, make copies and changes. Get yours at www.boundless.com Humor's Office."10 Hidden Messages Logos."CC BYhttp://www.humorsoffice.com/lists/10-hidden-messages-logos/View on Boundless.com

  17. Valuation and Reporting of Investments in Other... Amortization Schedule Debt held to maturity is shown on the balance sheet at the amortized acquisition cost. To find the amortized acquisition cost the securities are amortized like a mortgage or a bond. Free to share, print, make copies and changes. Get yours at www.boundless.com Flickr."All sizes | Amortization table-continued | Flickr - Photo Sharing!."CC BYhttp://www.flickr.com/photos/cebuliving/1610837726/sizes/z/View on Boundless.com

  18. Valuation and Reporting of Investments in Other... A gold nugget Fair market value (FMV) is an estimate of the market value of a property. Free to share, print, make copies and changes. Get yours at www.boundless.com Wikimedia."Gold-gold venezuela meieran1."CC BYhttp://commons.wikimedia.org/wiki/File:Gold-gold_venezuela_meieran1.jpgView on Boundless.com

  19. Valuation and Reporting of Investments in Other... Fair value Fair value is defined as a rational and unbiased estimate of the potential market price of a good, service, or asset. Free to share, print, make copies and changes. Get yours at www.boundless.com SolutionsIQ."Agile and the Concept of Intrinsic Value."CC BYhttp://www.solutionsiq.com/resources/agileiq-blog/bid/86438/Agile-and-the-Concept-of-Intrinsic-ValueView on Boundless.com

  20. Valuation and Reporting of Investments in Other... Debt A company initially records the "available for sale securities" at cost. While holding onto the securities the company must calculate the fair market value for these securities at the end of each subsequent accounting period. Free to share, print, make copies and changes. Get yours at www.boundless.com Flickr."Sign in to Yahoo."CC BYhttp://www.flickr.com/photos/goodbye2debt/7165690737/sizes/m/in/photostream/View on Boundless.com

  21. Valuation and Reporting of Investments in Other... Equity Investors keep equities as assets using equity method. Free to share, print, make copies and changes. Get yours at www.boundless.com Wikimedia."Equity of Rietumu Banka (1993-2011)."CC BY-SAhttp://commons.wikimedia.org/wiki/File:Equity_of_Rietumu_Banka_(1993-2011).JPGView on Boundless.com

  22. Valuation and Reporting of Investments in Other... Fair value Fair value, defined as a rational and unbiased estimate of the potential market price of a good, service, or asset. Free to share, print, make copies and changes. Get yours at www.boundless.com Flickr."All sizes | Dow Drops 500 Points | Flickr - Photo Sharing!."CC BYhttp://www.flickr.com/photos/yotut/2860178069/sizes/o/View on Boundless.com

  23. Valuation and Reporting of Investments in Other... Sale of Stock. Often times companies offer their stock for sale as a way to generate cash. How the stock sale is accounted for depends on the type of stock sold. Most stock sales involve common stock or preferred stock. Free to share, print, make copies and changes. Get yours at www.boundless.com Flickr."All sizes | City government stock certificate, 1997 | Flickr - Photo Sharing!."CC BYhttp://www.flickr.com/photos/seattlemunicipalarchives/4799088211/sizes/l/View on Boundless.com

  24. Valuation and Reporting of Investments in Other... Intel Board of Directors This image is from Intel's Board of Directors. Free to share, print, make copies and changes. Get yours at www.boundless.com Wikimedia Commons."Intel_Board_of_Directors.jpg."CC BY-SA 3.0https://upload.wikimedia.org/wikipedia/commons/1/17/Intel_Board_of_Directors.jpgView on Boundless.com

  25. Valuation and Reporting of Investments in Other... Dow Jones Industrial Average The DJIA depicts the volume of shares traded over a specific period of time. Free to share, print, make copies and changes. Get yours at www.boundless.com Flickr."Dow Down Another 450 Points | Flickr - Photo Sharing!."CC BYhttp://www.flickr.com/photos/yotut/2866039659/View on Boundless.com

  26. Valuation and Reporting of Investments in Other... A bond certificate A bond certificate issued via the South Carolina Consolidation Act of 1873. How the sale of a bond is recorded on a company's books depends on how the debt is initially classified by the acquiring investor. Debt securities can be classified as "held-to-maturity," a "trading security," or "available-for-sale. " Free to share, print, make copies and changes. Get yours at www.boundless.com Wikipedia."South Carolina consolidation bond."CC BY-SAhttp://en.wikipedia.org/wiki/File:South_Carolina_consolidation_bond.jpgView on Boundless.com

  27. Valuation and Reporting of Investments in Other... Principal is repaid at maturity Some structured bonds can have a redemption amount which is different from the face amount and can be linked to performance of particular assets such as a stock or commodity index, foreign exchange rate, or a fund. This can result in an investor receiving less or more than his original investment at maturity Free to share, print, make copies and changes. Get yours at www.boundless.com Flickr."All sizes | Lack of money is the root of all evil - George Bernard Shaw | Flickr - Photo Sharing!."CC BYhttp://www.flickr.com/photos/miran/5792635506/sizes/l/View on Boundless.com

  28. Valuation and Reporting of Investments in Other... Attribution • Wikipedia."Ownership equity."CC BY-SA 3.0http://en.wikipedia.org/wiki/Ownership_equity • Wikipedia."Pension funds."CC BY-SA 3.0http://en.wikipedia.org/wiki/Pension%20funds • Wikipedia."Equity method."CC BY-SA 3.0http://en.wikipedia.org/wiki/Equity_method • Wikipedia."mutual funds."CC BY-SA 3.0http://en.wikipedia.org/wiki/mutual%20funds • Wikipedia."Fair value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value • Wikipedia."Fair value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value • Wikipedia."return on capital."CC BY-SA 3.0http://en.wikipedia.org/wiki/return%20on%20capital • Wikipedia."supply vs. demand."CC BY-SA 3.0http://en.wikipedia.org/wiki/supply%20vs.%20demand • Wikipedia."Mark-to-market accounting."CC BY-SA 3.0http://en.wikipedia.org/wiki/Mark-to-market_accounting%23FAS_115 • Wikipedia."Share (finance)."CC BY-SA 3.0http://en.wikipedia.org/wiki/Share_(finance) • Wikipedia."Subsidiary."CC BY-SA 3.0http://en.wikipedia.org/wiki/Subsidiary • Wiktionary."face value."CC BY-SA 3.0http://en.wiktionary.org/wiki/face_value • Wiktionary."fair market value."CC BY-SA 3.0http://en.wiktionary.org/wiki/fair_market_value • Wiktionary."prima facie."CC BY-SA 3.0http://en.wiktionary.org/wiki/prima_facie • Wikipedia."Equity method."CC BY-SA 3.0http://en.wikipedia.org/wiki/Equity_method • Wikipedia."Amortization schedule."CC BY-SA 3.0http://en.wikipedia.org/wiki/Amortization_schedule • Wikipedia."Amortization schedule."CC BY-SA 3.0http://en.wikipedia.org/wiki/Amortization_schedule Free to share, print, make copies and changes. Get yours at www.boundless.com

  29. Valuation and Reporting of Investments in Other... • Wiktionary."acquisition."CC BY-SA 3.0http://en.wiktionary.org/wiki/acquisition • Global Text Project."Accounting Principles: A Business Perspective, Volume 2: Managerial Accounting by James Don Edwards."CC BY 3.0https://dl.dropboxusercontent.com/u/31779972/Accounting%20Principles%20Vol.%202.pdf • Wiktionary."maturity."CC BY-SA 3.0http://en.wiktionary.org/wiki/maturity • Wikibooks."Accountancy/Investments."CC BY-SA 3.0http://en.wikibooks.org/wiki/Accountancy/Investments%23Investments_in_Equity_Securities • Wikipedia."Revenue recognition."CC BY-SA 3.0http://en.wikipedia.org/wiki/Revenue_recognition • Wikipedia."Maturity date."CC BY-SA 3.0http://en.wikipedia.org/wiki/Maturity_date • Wiktionary."Interest."CC BY-SA 3.0http://en.wiktionary.org/wiki/Interest • Global Text Project."Accounting Principles: A Business Perspective, Volume 2: Managerial Accounting by James Don Edwards."CC BY 3.0https://dl.dropboxusercontent.com/u/31779972/Accounting%20Principles%20Vol.%202.pdf • Wiktionary."maturity."CC BY-SA 3.0http://en.wiktionary.org/wiki/maturity • Wikipedia."Interest."CC BY-SA 3.0http://en.wikipedia.org/wiki/Interest%23Simple_interest • Wikipedia."Bond (finance)."CC BY-SA 3.0http://en.wikipedia.org/wiki/Bond_(finance)%23Principal • Global Text Project."Accounting Principles: A Business Perspective, Volume 2: Managerial Accounting by James Don Edwards."CC BY 3.0https://dl.dropboxusercontent.com/u/31779972/Accounting%20Principles%20Vol.%201.pdf • Wikipedia."Debt."CC BY-SA 3.0http://en.wikipedia.org/wiki/Debt • Wikipedia."available-for-sale."CC BY-SA 3.0http://en.wikipedia.org/wiki/available-for-sale • Wikipedia."Held-to-maturity."CC BY-SA 3.0http://en.wikipedia.org/wiki/Held-to-maturity • Wikipedia."Mark-to-market accounting."CC BY-SA 3.0http://en.wikipedia.org/wiki/Mark-to-market_accounting%23FAS_115 • Wikipedia."trading securities."CC BY-SA 3.0http://en.wikipedia.org/wiki/trading%20securities • Wikipedia."Stock."CC BY-SA 3.0http://en.wikipedia.org/wiki/Stock%23Selling • Wiktionary."preferred."CC BY-SA 3.0http://en.wiktionary.org/wiki/preferred Free to share, print, make copies and changes. Get yours at www.boundless.com

  30. Valuation and Reporting of Investments in Other... • Wiktionary."par value."CC BY-SA 3.0http://en.wiktionary.org/wiki/par_value • Wikipedia."Fair market value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_market_value • Wikipedia."Fair value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value • Wikipedia."Fair market value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_market_value • Wiktionary."fair market value."CC BY-SA 3.0http://en.wiktionary.org/wiki/fair_market_value • Wikipedia."Equity method."CC BY-SA 3.0http://en.wikipedia.org/wiki/Equity_method • Wiktionary."eminent domain."CC BY-SA 3.0http://en.wiktionary.org/wiki/eminent_domain • Boundless Learning."Boundless."CC BY-SA 3.0http://www.boundless.com//accounting/definition/book-value--2 • Wikipedia."Fair value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value • Wikipedia."Fair value accounting."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value_accounting • Wikipedia."Stock valuation."CC BY-SA 3.0http://en.wikipedia.org/wiki/Stock_valuation • Wiktionary."unrealized."CC BY-SA 3.0http://en.wiktionary.org/wiki/unrealized • Wikipedia."Consolidation (business)."CC BY-SA 3.0http://en.wikipedia.org/wiki/Consolidation_(business)%23More_than_50.25_ownership_.E2.80.94_Subsidiary • Wikipedia."Subsidiary."CC BY-SA 3.0http://en.wikipedia.org/wiki/Subsidiary • Wikipedia."Equity method."CC BY-SA 3.0http://en.wikipedia.org/wiki/Equity_method • Boundless Learning."Boundless."CC BY-SA 3.0http://www.boundless.com//business/definition/state-owned-enterprise • Wikipedia."Fair value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value • Wikipedia."journal entry."CC BY-SA 3.0http://en.wikipedia.org/wiki/journal%20entry • Wikipedia."Fair value accounting."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value_accounting Free to share, print, make copies and changes. Get yours at www.boundless.com

  31. Valuation and Reporting of Investments in Other... • Wiktionary."dividend."CC BY-SA 3.0http://en.wiktionary.org/wiki/dividend • Wikipedia."Consolidation (business)."CC BY-SA 3.0http://en.wikipedia.org/wiki/Consolidation_(business)%23Purchase_of_Common_Stock • Wikipedia."Goodwill (accounting)."CC BY-SA 3.0http://en.wikipedia.org/wiki/Goodwill_(accounting) • Wikipedia."FASB."CC BY-SA 3.0http://en.wikipedia.org/wiki/FASB • Wikipedia."Pro forma."CC BY-SA 3.0http://en.wikipedia.org/wiki/Pro_forma%23Accounting • Boundless Learning."Boundless."CC BY-SA 3.0http://www.boundless.com//accounting/definition/pro-rata • Wikipedia."Minority interest."CC BY-SA 3.0https://en.wikipedia.org/wiki/Minority_interest • Wikipedia."Equity method."CC BY-SA 3.0https://en.wikipedia.org/wiki/Equity_method • Wikipedia."Board of directors."CC BY-SA 3.0https://en.wikipedia.org/wiki/Board_of_directors • Wikipedia."Controlling interest."CC BY-SA 3.0https://en.wikipedia.org/wiki/Controlling_interest • Wikipedia."Capital control."CC BY-SA 3.0https://en.wikipedia.org/wiki/Capital_control • Wikipedia."Enterprise value."CC BY-SA 3.0https://en.wikipedia.org/wiki/Enterprise_value • Wikipedia."Associate company."CC BY-SA 3.0https://en.wikipedia.org/wiki/Associate_company • Wikipedia."Enterprise value."CC BY-SA 3.0https://en.wikipedia.org/wiki/Enterprise_value • Wikipedia."Fair value."CC BY-SA 3.0http://en.wikipedia.org/wiki/Fair_value • Wikipedia."fair value."CC BY-SA 3.0http://en.wikipedia.org/wiki/fair%20value • Wikipedia."Mark-to-market accounting."CC BY-SA 3.0http://en.wikipedia.org/wiki/Mark-to-market_accounting • Wiktionary."impairment."CC BY-SA 3.0http://en.wiktionary.org/wiki/impairment • Wikipedia."Equity method."CC BY-SA 3.0http://en.wikipedia.org/wiki/Equity_method Free to share, print, make copies and changes. Get yours at www.boundless.com

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