重要会计政策的报告外文翻译-精品Word下载.doc

1、专 业 会 计 学 外文题目 Reporting Critical Accounting Policies 外文出处 THE CPA JOURNAL 外文作者 Mark P.Holtzman 原文：Reporting Critical Accounting PoliciesAccountants inevitably make many accounting estimates and policy decisions when preparing financial statements. They must select depreciable lives for long-lived a

2、ssets. choose an inventory costing method, make assumptions about pensions, and make many more judgments. These accounting estimates are driven by an entitys accounting policy as it applies to the issues at hand. These decisions could significantly affect a companys financial statements and how user

3、s understand a companys results and financial position.For this reason, the SEC requires companies to report critical accounting policies （CAP） as part of Managements Discussion and Analysis （MD&A）. The SEC has issued many comment letters about companies CAPS, indicating their importance. What follo

4、ws is an overview of the SECS requirements and proposed rule on CAPS, as well as a survey of current practices by large companies.The SECS InterpretationIn December 2003, the SEC released FR-72, Interpretation: Commission Guidance Regarding Managements Discussion and Analysis of Financial Condition

5、and Results of Operations （www.sec.gov/rules/interp/33-835O.htm）. This covered many different areas of MD&A, including critical accounting estimates. The interpretation defines critical accounting estimates as those estimates or assumptions where 1 the nature of the estimates or assumptions is mater

6、ial due to the levels of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change and 2 the impact of the estimates and assumptions on financial condition or operating performance is material.The rule states that critical accounting

7、estimate disclosures in the MD&A should supplement the description of significant accounting policies provided at the beginning of the notes to the financial statements required under Accounting Principles Board （APB） Opinion 22 and AICPA Statement of Position （SOP） 94-6. The MD&A disclosure should

8、provide more insight into the quality and variability of information on the balance sheet and income statement. Furthermore, the disclosure should analyze the uncertainties involved in applying an accounting principle, or the variability likely to result from its application over time. Accountants s

9、hould explain why critical accounting estimates bear the risk of change. Furthermore, they should explain how they arrived at the estimate, how accurate the estimate or assumption has been in the past, how much the estimate or assumption has changed in the past, and whether the estimate or assumptio

10、n is reasonably likely to change in the future. When quantitative, material information is available, accountants should quantify the sensitivity to change based on reasonably likely outcomes.The SECS Proposed RuleIn May 2002, prior to the issuance of the above interpretation, the SEC released a pro

11、posed rule. “Disclosure in Managements Discussion and Analysis about the Application of Critical Accounting Policies” This proposed rule provides more complete and direct guidance than the interpretation. The SEC has yet to act upon this proposal; it has not issued any amended proposals or final rul

12、es on the matter. Furthermore, the SECS Division of Corporation Finances most recent Current Accounting and Disclosure Issues （November 30, 2006） did not mention CAPS.The proposed rule would redefine the criteria for CAPS to focus on the following: 1） critical accounting estimates that require a com

13、pany to draw assumptions about highly uncertain matters; and 2） alternate estimates in the current period, or changes in the estimate that are reasonably likely in future periods that would materially impact the presentation of the companys financial condition, changes in financial condition, or res

14、ults of operations.The proposed rule sets a number of additional disclosures for each estimate. Companies would be required to explain the significance of each critical accounting estimate to the financial statements and, where material, to individual financial statement line items. Furthermore, the

15、 proposed rule would require quantifying financial statements sensitivity to changes made in each critical accounting estimate, and disclosing historical changes in a companys critical accounting estimates over the past three years （two years for small business issuers）. Companies would he required to explain the reasons for those changes.For initial adoptions of accounting policies, companies would be required to describe the following: 1） the events or transactions that gave rise to the initial adop