FINANCIAL ACCOUNTING o.2.docx
FINANCIAL ACCOUNTING SUDARSHAN BARAL Topic: Research Individual Assignmet Task Details: Internally generated intangible assets In their article entitled ‘U.S. firms challenged to get “intangibles” on the books’, Byrnes and Aubin (2011) noted that in the United States some companies were accounting for intangibles such as brands, patents and information technology differently when they were Developed internally rather than being acquired. This could mean major differences in accounting numbers where internally generated intangibles developed at low costs by one company were sold for large amounts to another company. They noted: The accounting difference could result in distorted behaviour, warns Abraham Briloff, a professor emeritus of accountancy at Baruch College, tempting companies to buy intellectual property rather than doing research themselves. Required: Write a report on the impacts of AASB138 / IAS38 for internally generated intangible assets. Discuss any differences between accounting for internally generated intangible assets and acquired intangible assets in AASB138/ IAS38. Discuss why companies may be reluctant to press. Research requirements: Students need to support their analysis with reference to relevant material from the text and a minimum of eight (8) suitable, reliable current and academically acceptable sources this should include at least 2 peer-reviewed academic journal articles. Presentation: 2000 + 10% word short report format. Title page, executive summary, table of contents, appropriate headings and sub-headings, recommendations/findings/conclusions, in-text referencing and reference list (Harvard – Anglia style), attachments if relevant. Single spaced, font Times New Roman 12pt, Calibri 11 pt or Arial 10 pt. Marking Guide: Interpretation and representation Calculations Analysis Assumptions Communication 20% 20% 20% 20% 20% Total mark will be scaled to a mark out of 30 subject marks. Marking Rubric for ACC701 Financial Accounting Assessment 2 Criteria Fail (0 – 49%) Pass (50 – 64%) Credit (65 – 74%) Distinction (75 – 84%) High Distinction (85 – 100%) Interpretation and Representation 20% Does not provide explanations of information presented in mathematical form. Does not make appropriate inferences based on that information. Does not convert relevant information into an insightful mathematical portrayal. Provides somewhat accurate explanations of information presented in mathematical forms, but occasionally makes minor errors related to computations or units. Makes some inferences based on that information. Completes conversion of information but resulting mathematical portrayal is only partially appropriate or accurate. Provides mostly accurate explanations of information presented in mathematical form. Makes mostly appropriate inferences based on that information. Converts relevant information into an insightful mathematical portrayal in a way that contains minimal inaccuracies Provides accurate explanations of information presented in mathematical form. Makes appropriate inferences based on that information. Competently converts relevant information into an insightful mathematical portrayal in a way that contributes to a further and deeper understanding. Provides accurate explanations of information presented in mathematical form. Makes skilful inferences based on that information. Skilfully converts relevant information into an insightful mathematical portrayal in a way that contributes to a further or deeper understanding. Calculations 20% Does not perform accurate calculations. Formulae and workings either not provided or incomplete. Many errors. Performs calculations which solve the basic and/or most obvious problem(s). Main formulae and workings only provided. Some errors. Performs mostly accurate calculations which are sufficiently comprehensive to solve most (of the) problem(s). Most formulae and workings provided - some gaps. Minor errors Performs mostly accurate calculations which are sufficiently comprehensive to solve the problem(s). Most/all formulae and workings provided - minimal gaps. Minimal errors Performs accurate calculations which are sufficiently comprehensive to solve the problem(s). All formulae and workings provided. No errors Analysis 20% Does not use correct and complete quantitative analysis. Does not make relevant and correct conclusions. Uses basic analysis but uses the quantitative analysis as the basis for tentative, basic judgments, is hesitant or uncertain about drawing conclusions from this work. Uses mostly correct and complete quantitative analysis. Makes mostly relevant and correct conclusions. Uses correct and complete quantitative analysis. Makes mostly relevant and correct conclusions. Uses correct and complete quantitative analysis. Makes sophisticated, relevant and correct conclusions. Assumptions 20% Does not attempt to describe assumptions or makes incorrect assumptions. Limited, incorrect or no rationale. Attempts to describe assumptions and provides limited rationale to explain why each assumption is appropriate. Some errors in assumptions or assumptions overlooked Describes assumptions and provides rationale to explain each assumption. Some elements incomplete or semi-accurate assumptions. Explicitly describes assumptions and provides strong rationale to explain assumptions. Minimal errors in logic. Explicitly describes assumptions and provides comprehensive, compelling and justified rationale to explain assumptions. No errors in logic. Communication 20% Communicates ineffectively. Words do not reflect the problem. May include diagrams which completely misrepresent the problem situation. May not include important supporting diagrams. Has some satisfactory elements but may fail to complete or may omit significant parts of the problem. Explanation or description may be missing or difficult to follow in places. Includes most but not all important diagram(s) or diagram(s) may be unclear and difficult to interpret. Makes significant progress towards completion of the problem, but the explanation or description may be somewhat ambiguous or unclear. May include flawed or unclear diagram(s), or insufficient diagrams. Gives a fairly complete response with reasonably clear explanations or descriptions. Includes nearly all complete, appropriate diagram(s). Generally communicates effectively to the identified audience. Presents supporting arguments which are logically sound but may contain some minor gaps. Gives a complete response with a clear, unambiguous explanation and/or description. Includes all appropriate and complete diagram(s). Communicates effectively to the identified audience. Presents strong supporting arguments which are logically sound and complete. Total mark out of 100% Comments: Interpretation and Representation 20%