Accounting for complex investment transactions

Churyk, N. T. and Stenka, R. ORCID: https://orcid.org/0000-0003-3103-2307 (2014) Accounting for complex investment transactions. Journal of Accounting Education, 32 (4). pp. 58-70. ISSN 0748-5751 doi: 10.1016/j.jaccedu.2014.08.001 (Natalie Tatiana Churyk, Renata Stenka, Accounting for complex investment transactions,)

Abstract/Summary

This case study exposes students to complex investment transactions. You must document the following: (1) apply the appropriate accounting literature along with its provisions and justify the order of its application; (2) identify and interpret key facts to classify the given investments and relations; (3) discuss the choice of key assumptions that are central to the analysis; (4) interpret the nature of all investment relations with Holdings; discuss all Owner level and below relations; (5) discuss how accounting for varied levels of influence impact the items reported on/off the face of investors’ financial statements; (6) from DT’s perspective, discuss the potential positives and negatives of its arrangement with Owner with respect to Holdings; and (7) after analyzing additional facts, discuss the nature of the relations of Simon and Herb III with Owner.