Intermediate Accounting Volume 1

LEARNING OBJECTIVES Learning objectives have been incorporated throughout the text for the benefit of students and instructors. This feature enhances the ability to navigate the text by providing an organized path of study. Each chapter begins with a list of its own objectives which are then integrated throughout the chapter. The objectives guide students and highlight where to focus their efforts. As a result, students take an active role in their learning to ensure they have covered all of the learning objectives in their studies. The end-of-chapter materials are linked to the learning objectives, which reinforces the primary topics included.

DATA ANALYTICS AND INFORMATION SYSTEMS (DAIS) New in this edition are data analytics and information systems (DAIS) examples provided in most chapters along with two or three end-of-chapter questions. These DAIS examples are specific to the content of the chapter and demonstrate two types of knowledge concepts. The first concept is to analyze graphs that provide relevant information used for accounting measurement and recognition purposes or that provide a comparison of the impact of using different accounting policies. The second concept is to assess the type of data to be gathered by information systems required for accounting purposes and issues related to the nature of this data.?DAIS content for the 8th edition was written in consultation with a leader in the field, Dr. Kim Trottier, Associate Professor at HEC Montreal.

IFRS AND ASPE COMPARISON?TABLE An IFRS and ASPE comparison table has been added to the end of each chapter. These tables have been created to help reinforce and summarize the recognition and measurement concepts under both IFRS and ASPE. The comparison aims to provide a high-level summary, explains areas of IFRS and ASPE where application differs and where it is the same (or similar), identifies key differences in terminology, and highlights areas where no similar guidance exists between the two frameworks.

APPENDICES The content from the appendices has been moved into the body of the chapter where appropriate for understanding and required coverage; where it provides additional information, it has been moved to Connect.

DISTINGUISHED AUTHORSHIP. The Intermediate Accounting co-authors have been recognized for teaching excellence, case writing, dedicated involvement in professional accounting education, and authorship of professional development courses and elective modules for the CPA program.

CANADIAN AGENDA. A ground up Canadian product, Intermediate Accounting reflects the current International Financial Reporting Standards (IFRS) and Accounting Standards for Private Enterprises (ASPE) guiding accounting policy and practices in the Canadian business environment. Every chapter is based first and foremost on IFRS. Differences between ASPE and IFRS are explained in a separate section, to provide clarity regarding one set of standards as compared with the other. Where there are significant differences in the standards, a separate section demonstrating the application of ASPE for certain types of transactions have also been included. In addition, a summary chart comparing IFRS and ASPE is also provided. Assignment material reflects both IFRS and ASPE so that applications reflect the dual GAAP environment.

TECHNICAL KNOWLEDGE. There is a base level of expertise that must become part of every accountant’s body of knowledge: how to record a receivable, capitalize a lease, account for a pension, or prepare a statement of cash flows. Some of the transactions that need to be accounted for are very complex, and the specific rules must be mastered.

PROFESSIONAL JUDGEMENT. Intermediate Accounting guides students in developing professional judgement by explicitly examining the variables that companies consider when evaluating their options, and the criteria that accountants use to make choices. Many opportunities to develop and improve judgement are provided in the case material.

REALISTIC CASES. More than 70 cases are included in Intermediate Accounting, portraying realistic situations, usually with multiple financial reporting implications. A blend of professional judgement and technical skills is needed to respond to each case. Case coverage is not limited to “one chapter” bites, but often integrates material learned to date.

ETHICAL ISSUES. Many chapters discuss accounting issues that raise ethical concerns. These concerns are highlighted in the chapter. Where ethics is particularly problematic, Intermediate Accounting includes a separate “Ethical Issues” section to help students focus on the ethical aspects of policy choice. Ethics assignment material has also been incorporated into the case material.

RELEVANT STANDARDS. At the end of each chapter, there is a comprehensive list of the IASB and ASPE standards that are relevant to the material in the chapter. The Intermediate Accounting text has not quoted the standards directly in chapter material and has not provided paragraph references to either the IASB publications or CPA Canada Handbook. This omission is intentional—the two sources are harmonized but may use different words. The focus Intermediate Accounting is on the application of standards, not the technicalities of the wording.

EARLY AND INTEGRATED COVERAGE OF CASH FLOWS. The placement of cash flow coverage in Chapter 5 allows students to learn how to do the statement of cash flows early in the course. Following this chapter, the cash flow implications of various complex transactions are reviewed in each relevant chapter. There is cash flow assignment material in most chapters. For instructors that prefer to emphasize cash flow material at the end of the course, the Volume 2 Appendix (Statement of Cash Flows) provides a comprehensive review of SCF topics.