Bank Accounting: Beyond the Basics - 5 Part Series

What You'll Learn

• An overview of the Accounting Standards Codification (ASC), the concept of Generally Accepted Accounting Principles in the United States (U.S. GAAP) and the role of the Financial Accounting Standards Board (FASB)
• An overview of the implementation timelines for new accounting standards impacting the industry, as applicable
• An introduction to the concept of audit assertions that are applied to the audit of a financial institution’s financial statements
• The concept of “internal controls over financial reporting” and the meaning of “lines of defense” in internal controls
• An overview of risks vs controls and a sample Risk & Control Matrix
• Specific discussions and accounting examples for transactions and activities related to:
  • Deferred tax accounting and accruing for tax expenses
  • Accounting and reporting credit losses under CECL
  • Problem loan accounting
  • Modified loans under current U.S. GAAP
  • Accounting for foreclosed real estate
  • Accounting for equity securities
  • Accounting for debt securities and the required accounting treatment for premiums paid on callable debt securities
  • Accounting for lease contracts from the lessee position
  • The assumptions required to account for stock options
  • The concepts behind accounting for a business combination
  • The process for creating consolidated financial statements to include sample transactions with a bank’s holding company
• Exhibits illustrating a sample consolidating schedule and the concept of distributing vs non-distributing transfers up to the holding company will be provided
• A sample reconciliation of book net income to taxable income will be provided as part of the deferred tax discussion
• Illustrations on booking, amortizing, and the tax effects on goodwill and core deposit intangibles resulting from a business combination will be provided.