Preparing Personal Financial Statements (Currently Unavailable)

Author: Pat Patterson

CPAs are the first stop for most individuals for tax and financial planning advice. Your client's financial position is often requested by estate planners, creditors, and other advisors. Preparing personal financial statements for your clients on an annual basis can be a great opportunity to grow your practice.

This course will teach you the professional standards and best practices for preparing personal financial statements.

Publication Date: May 2016

Designed For
CPAs and finance professionals who work with clients on the development and analysis of personal financial statements and other aspects of personal financial planning.

Topics Covered

• SOP No. 82-1, which represents GAAP for personal financial statements
• Application of SSARS standards to personal financial statements
• Personal financial statements on prescribed forms
• Other reporting and disclosure issues
• Peer review standards addressing engagement administration and documentation

Learning Objectives

• Recognize the basics of preparing personal financial statements
• Illustrate relevant professional standards
• Identify "fair value" of client personal assets and liabilities
• Differentiate reporting options
• Identify an overview of disclosure requirements
• Recognize who is authorized under rule 203.12 of the Ethics Code of Professional Conduct to "designate bodies to establish accounting principles"
• Differentiate which FASB concept is on the financial statement and what is GAAP
• Describe the defined amount for an asset "at which the item could be exchanged between a buyer and a seller, each of whom is well informed and willing, and neither of whom is compelled to buy or sell"
• Recognize what value should be used when presenting on financial statements marketable securities that were traded on the valuation date and for which market prices are unavailable
• Identify the requirements in the preparation of personal financial statements
• Recognize what should be used under FASB ASC 274, if the preparer of financial statements is unable to satisfactorily determine the value of jewelry or works of art
• Identify what became the single source of authoritative, nongovernmental U.S. generally accepted accounting principles (GAAP) on July 1, 2009
• Describe how personal financial statements may present personal assets and liabilities of
• Evaluate at what date should personal financial statements present the values of assets and liabilities
• Identify what is required to be disclosed in personal financial statements
• Recognize which SSARSs can preparers of financial statements use until December 15, 2015
• Differentiate what an accountant should obtain at a minimum to rely on the information provided to her by her client when preparing financial statements
• Identify what should be included on personal financial statements
• Differentiate what clients are responsible for having, even if informatil
• Recognize which services an accountant needs to be independent

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Accounting (2 hours)

Program Prerequisites
None

Advance Preparation
None