1. Briefly describe the basic facts of the case. Identify the key accounting issue(s) the company needs to solve. List and describe at least two alternative solutions to each of the accounting issues.
2. Search the FASB Codification to identify authoritative literature that either deals directly with the accounting issue or that provides guidance on an analogous accounting issue.List and describe the authoritative literature in support of each of your alternatives.Identify and describe any non-authoritative literature you use, if any.
3. Evaluate the alternative solutions based on research using conceptual analysis and application of the authoritative professional literature. Present your recommendation of the ‘best’ solutions and explain. You should also discuss any assumptions you make in your research.
4. For each of the accounting issues, describe the effects of your recommended accounting treatment on the company’s financial statements for the current and subsequent periods.Discuss any disclosure requirements associated with your recommendations.
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