Explore BrainMass

Explore BrainMass

    Reasons for issuing FASB Statement No.144

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Analyze the reason(s) for issuing FASB Statement No. 144 and compare and contrast the accounting information on this statement, Statement No. 121, and Accounting Principles Board Opinion (APB) # 30.

    (1) Analysis of the reason(s) for issuing FASB Statement No. 144
    (2) Differences among FASB Statement No. 144, Statement No. 121, and Accounting Principles Board Opinion (APB) # 30
    (3) Impact of the changes to Statement No. 144 on financial reporting

    © BrainMass Inc. brainmass.com June 3, 2020, 9:10 pm ad1c9bdddf

    Solution Preview

    Dear Student,

    Thank you for selecting the OTAs at BrainMass to assist you. Below is a FULL draft of your assignment and you should now have the tools to do great. Please be advised that the text of this work may be copy-protected©, but may be used as a good comprehensive sample or guide to aid you in customizing your assignment. Multiple links have been provided to assist you. Please be sure to cite the references listed herein.

    I hope that you are happy with my dedication to your work. Thanks and Good luck!

    NOTE [As stated on Brainmass.com]: "We cannot do assignments for students. If it appears that this is what is requested, Postings may be Suspended."



    (1).Analysis of the reason(s) for issuing FASB Statement No. 144

    The Financial Accounting Standards Board (FASB) Statement No. 144 "Accounting for the Impairment or Disposal of Long-Lived Assets" was issued in August 2001 to "addresses financial accounting and reporting for the impairment or disposal of long-lived assets. This Statement supersedes:

    - FASB Statement No. 121, Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets" (Disposed Of) - The accounting and reporting provisions of APB Opinion No. 30, Reporting the Results of Operations-Reporting the Effects of Disposal of a Segment of a Business, and Extraordinary, Unusual and Infrequently Occurring Events and Transactions, for the disposal of a segment of a business (as previously defined in that Opinion).
    - Also amends ARB No. 51, Consolidated Financial Statements, to eliminate the exception to consolidation for a subsidiary for which control is likely to be temporary.

    * The reasons for issuing No. 144 is:

    Because Statement 121 did not address the accounting for a segment of a business accounted for as a discontinued operation under Opinion 30, two accounting models existed for long-lived assets to be disposed of. The Board decided to establish a single accounting model, based on ...

    Solution Summary

    This solution discusses reasons for issues FASB Statement No. 144.