ACC202 INTERMEDIATE ACCOUNTING I LONG ISLAND BUSINESS INSTITUTE RESEARCH PAPER You are going to...

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ACC202 INTERMEDIATE ACCOUNTING I LONG ISLAND BUSINESS INSTITUTE RESEARCH PAPER You are going to choose a publicly traded company (for example Microsoft). Publicly traded companies who have their shares listed on stock exchanges are required to file regular financial statements and disclosures with regulators, such as the securities and exchange commission (SEC) in the United States. Among the most widely read of these are a company's annual report, which tells investors and analysts how the company has performed over the previous fiscal year (FY), how its businesses look going forward and summarizing corporate financials for use in fundamental or ratio analysis through scrutinizing the balance sheet, income statement, and statement of cash flows. Here are topics to summarize in each paragraph: 1. Introduce to the FASB's Conceptual Framework and FASB's GAAP Codification, if any in their reports including their accounting principles or concepts. 2. Explain their annual Income Statement. Give a full summary of their earnings and operating expenses. Do they have Other Revenue and Gains or Other Expenses or Interest? Do they have discounting Operation or Extraordinary Items? Explain, You will find their information at the end of their Income Statement or Footnotes. What is their EPS? 3. Explain their annual Balance Sheet? Give a full summary of Assets, Liabilities, and Stockholder's Equity. How many shares outstanding are stated? Do they have additional information at the bottom of the Balance Sheet? 4. Explain their Cash Flow Statement. Give a full summary of their cash flows. Are they using the indirect or direct method to calculate their results? 5. Conclusion 6. 2020: Was the company affected the Covid-19? Explain This research paper requirements: Format in MLA 12 pts, Times New Roman (font), double-spacing, etc. Work Cited Minimum three pages Create Tables or Pictures Cover Page

Tanmoy · Accepted Answer

Annual Report and Analysis
Berkshire Hathaway
Student Name: Zina
Berkshire Hathaway
FASB's Conceptual Framework and FASB's GAAP Codification
There was a new codification ASC 326 for Accounting Standards Updates 2016-13 issued by the FASB with regards to the recognition and measurement of credit losses on financial assets held at amortized rate. The existing rule was in relation to the measurement and recognition of the credit losses when it become evident based on the established particulars and conditions.  During the impairment losses from sale of debt securities the new codification ASC 326 is applicable. This will have no material impact on the consolidated financial statement of Berkshire Hathaway. 
Berkshire Hathaway is also adopting ASU 2017-04, which is in relation to simplifying the ordeal for impairment of goodwill and will be used to determine the unstated value of goodwill during the measurement of impairment losses. As per the new codification the goodwill impairment measurement will be the reporting unit’s carrying value over the fair value and it will be restricted to the carrying value of goodwill. 
The actuarial and discount rate presumed at the contract commencement date are not altered. As per the new guidelines of FASB issued ASU 2018-12 it states regular assessment of the actuarial and discount rate assumptions with regards to the cost increasing from long term insurances and reinsurance contracts of the policyholders, the cash flows assumptions will get reflected in the earnings while the discount assumptions will be highlighted in the comprehensive income.    
Annual Income Statement – Berkshire Hathaway
The net earnings of Berkshire Hathaway as on 2019 were $81792 million as against $4322 million and $45353 million in 2018 and 2017. The growth in the net earnings was a whopping 1792% in 2019 for Berkshire Hathaway. 
The operating expenses of the company in 2019 were $225703 million, in 2018 was $219214 and in 2017 it was $221237. Thus,

ACC202 INTERMEDIATE ACCOUNTING I LONG ISLAND BUSINESS INSTITUTE RESEARCH PAPER You are going to choose a publicly traded company (for example Microsoft). Publicly traded companies who have their...

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