Internal Control of Fixed Assets: A Controller and Auditor's Guide - Hardcover

King, Alfred M.

Hardcover

ISBN 10: 0470539402 ISBN 13: 9780470539408

Publisher: Wiley, 2011

Synopsis

For many companies, fixed assets represent the largest single aspect of their financial statement, yet rarely do they command time proportionate to the magnitude of the investment. This is the first book to show how to implement internal controls for fixed assets. It is a step-by-step guide for developing and maintaining a functioning internal control system that will withstand the closest scrutiny from independent public accountants and the PCAOB. With up-to-the-minute discussion of IFRS and GAAP, this is a must-have guide for controllers, auditors, and CFOs.

About this title

From the Inside Flap

Internal Control of Fixed Assets: A Controller and Auditor's Guide

A simple review of almost any firm's current Balance Sheet will show that the original cost of the land, buildings, machinery, and equipment represents a sizable portion of total assets. In many manufacturing firms, the Property, Plant, and Equipment (PP&E) is greater in magnitude than inventory and receivables combined. Internal controls are needed for fixed assets now more than ever. Internal Control of Fixed Assets offers step-by-step guidance for developing and maintaining a functioning internal control system that will withstand the closest scrutiny from independent public accountants and, ultimately, the PCAOB.

This is the first book to focus solely on the development of a solid system of internal controls for fixed assets, as well as on cleaning up past errors and omissions. Complicated concepts are demystified with easy-to-understand information on record keeping and controls on fixed assets.

Author Alfred King shares his decades of experience as an authority on valuation and internal control issues and familiarizes CFOs and auditors on the ins-and-outs of the monitoring of fixed assets, with topics including:

• Which rules will change under IFRS

• IFRS versus GAAP

• The asset life cyle

• How valuation specialists determine economic lives

• Should you use your own staff,or outsource?

• Fair value of fixed assets

Filled with valuable insights, Internal Control of Fixed Assets helps auditors straighten out their existing system, scrub out existing errors, and assure that future efforts will not lead to a recurrence of today's problems. The result is a system that will stand up to the scrutiny of the most hard-nosed auditor, SEC enforcement official—and PCAOB reviewer.

From the Back Cover

What's the big deal about fixed assets?

If the PCAOB starts to review auditor work papers dealing with Property, Plant, and Equipment (PP&E) on a more intensive basis, will your organization be ready? What if fair value reporting for PP&E were required?

As timely as it is complete, Internal Control of Fixed Assets peels back the layers surrounding the often-complex topic of internal controls for PP&E. This nuts-and-bolts book provides authoritative, step-by-step guidance on developing a system of internal controls for fixed assets, covering:

• IFRS versus GAAP: what you must know
• Internal control, Sarbanes-Oxley, and the PCAOB
• Capitalization and expense of PP&E
• Depreciation for books and taxes
• Contingent assets and liabilities
• Internal auditing of PP&E

With up-to-the-minute discussion of IFRS and GAAP, this is a must-have guide for controllers, auditors, and CFOs, providing practical and proven advice on maintaining a functioning internal control system that will withstand the closest scrutiny from independent public accountants and, ultimately, the PCAOB. Get your existing system in order and stay far ahead of your competitors with the straightforward business analysis in Internal Control of Fixed Assets.

Edition details

• Publisher: Wiley
• Publication date: 2011
• ISBN 10: 0470539402
• ISBN 13: 9780470539408
• Binding: Hardcover
• Language: English
• Edition number: 1
• Number of pages: 208