Intermediate Accounting Topics: Leases, Pensions, Deferred Taxes

This course covers present and future values in financial reporting, leases, pensions and deferred taxes in more detail than offered in the Accounting Bootcamp course. After a general review of the concepts of present and future values in financial reporting, we focus on the structure and reporting of leases and pensions which potentially represent significant off balance sheet risk to a company. The course then looks at accounting for taxes for financial reporting purposes, including a discussion and examples of permanent differences, temporary differences (and the resulting reporting of deferred taxes), and net operating losses (NOLs).

08-Dec-2008 -- 09-Dec-2008New YorkUSD$2375
NY Institute of Finance - Midtown9:00am - 4:30pm Instructional Method:
Group-Live
Instructor(s): [ Christopher Broderick; ] Mon Tue Level: Intermediate
CPE Credits: 14.0

The program will benefit anyone who wishes to enhance their existing skills and learn new ones. It should be of particular interest to: entry level finance professionals, investment professionals, research analysts, corporate bankers, fixed income analysts, credit analysts, mergers and acquisition professionals, equity analysts and mid-level career transitions.
No advance preparation required.
Students will be able to:
  • Learn the basic principals of present and future values and apply them to leases and pensions.
  • Understand the structure of leases and pensions, accounting for operating leases and capital leases.
  • Understand the accounting for defined contribution and defined benefit pension plans
  • Identify the effect on the balance sheet, income statement and the cash flow statement.
  • Learn about the two types of differences, permanent and timing, and calculation of the effective tax rate.
The participants must have completed the accounting bootcamp course or equivalent basic accounting.
  • Advanced Financial Accounting Topics
  • Accounting for Derivatives & Hedging
  • Accounting for Mergers & Acquisitions
    • Day 1
    Present and Future Value Concepts
    • Basic present and future value calculations (formulas and calculators)
    • Annuities (in advance, in arrears)
    • Basic mortgage scenario
    • Self amortizing loan
    • Case: financial statement to be determined

    Accounting for Leases

    • Reasons to lease
    • Structure of leases
    • Operating lease accounting
    • Capital/finance lease accounting
    • Identifying differences in operating and capital/finance leases
    • Lease reporting and disclosure

    Day 2
    Accounting for Pensions
    • Structure of pensions
    • Defined contribution and defined benefit plans
    • Role of ERISA and the Pension Benefit Guaranty Corporations
    • Risks of over and under funded pensions
    • Understanding pension funding
    • Factors in the calculation of pension expense
    • Understanding financial reporting of pensions

    Accounting for Taxes (GAAP)

    • Understanding and accounting for permanent differences
    • Understanding the nature of temporary/timing differences
    • Taxable temporary differences and deductible temporary differences
    • Origination and reversal of deferred tax liabilities
    • Deferred tax asset valuation allowance account
    • Accounting for multiple temporary differences
    • Understanding the tax footnote
    • Net operating losses (NOLs) and deferred tax assets

    Clients who register for this course will receive a complimentary 6 month subscription to the Financial Times and FT.com. The Financial Times is the world's most respected financial newspaper providing a broad assessment on finance, business and the industrial sector. Subscriptions will start within 6-8 weeks of the application process, and are limited to one per client. For questions about your subscriptions call 800-628-8088 or email uscirculation@ft.com. US and Canada enrollees only.

    Lunch included for all students taking day classes.