Shared Based Payment Reporting

In: Business and Management

Submitted By jortizlatorre
Words 507
Pages 3
Share Based Payment Reporting El Shared Based Payment Reporting (SBPR) es el producto del estándar numero 123 del Financial Accounting Standard Board (FASB), antes la opinión APB No. 25 – Accounting for Stock Issued to Employees. Este estándar busca uniformar la información que las organizaciones ofrecen a los inversionistas y personas de interés sobre sus intercambios de equity instruments para bienes y servicios, cuando esta incurre en una deuda para adquirir un bien o servicio basados en el valor del mercado de los equity instruments de la organización o establecidos por los emisores de dichos equity instruments. Igualmente, para identificar los servicios de capital humano que incurren las organizaciones en la forma de SBPR (FASB, 2012). Las razones principales para el nacimiento de este estándar estriban en la preocupación del mundo contable sobre la APB No. 25 la cual se basaba en métodos valorativos superficiales en los estados de situación. Estos no brindaban al lector números confiables sobre las transacciones económicas de la organización que afectaban el recibo y consumo de los servicios de capital humano en el intercambio de equity instruments. Igualmente, otra de las razones era la necesidad de que se mejorara los informes en cuanto a la comparabilidad, hacerlo mas simple, y que coexistiera con los estándares internacionales a través del International Financial Reporting Standard (IFRS) 2.
Special Purpose Entities Desde los anos 70, las Entidades de Especial Propósito (conocido por sus siglas en ingles, SPE) han servido a las organizaciones para mitigar el riesgo financiero, ayudar con los costos de financiamiento, eliminar gastos contributivos, y cambiar activos financieros en liquid securities. Igualmente, el FASB identifica a estas como el off-balance-sheet arrangements si estas cumplen con lo requisitos del Standard Financial Accounting…...

Similar Documents

Mobile Payment

...Mobile payments in Asia Pacific i n f o r m at i o n , c o m m u n i c at i o n s & e nt e rta i n m e nt Mobile payments in Asia Pacific  Contents 2 Introduction from Sean Choi and David Collins 3 Introduction from John Ure and Peter Lovelock 4 Introduction 6 Business models and the m-payments value chain – Business models behind different transaction types – Emerging business models by country – Industry perspectives on m-payments 22 Case studies – Smart in the Philippines – Yeepay’s B2B approach – The growing reach of Octopus – Gaming and virtual money – A view from the bottom of the pyramid – mHITs in Australia 29 Regulations and standards 40 Risks and challenges 44 About KPMG © 2007 KPMG, a Hong Kong partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved. 2 Mobile payments in Asia Pacific Introduction from Sean Choi and David Collins Seung Hwan (Sean) Choi This KPMG thought leadership report explores the development of the market for mobile payment systems in Asia Pacific. We believe the significance of this market cannot be overstated, as new technologies have the potential to play a key role in the expansion of commerce to an ever-wider segment of the world’s population. This is especially true in Asia Pacific. The expansion of commerce and the growing reach of...

Words: 18276 - Pages: 74

Pension Reporting

...Pension Reporting and Segment Elimination Requirements Deborah Hunter, Stephanie Murray, James Newsome, Sharon Stubbs, and Star Troutman ACC 541 January 14, 2013 Shauki Smith MEMORANDUM TO: CEO FROM: Team A DATE: January 14, 2013 SUBJECT: Pension Reporting and Segment Elimination Requirements CC: Shauki Smith This memo serves to provide an explanation of required reporting for define contribution, defined benefit, and other postretirement plans. In addition to pension reporting requirements, an explanation of the requirements for eliminating segments is also provided. Defined Contribution Plan In a defined contribution plan, companies will define how much they plan to contribute each period to the employee’s retirement benefits. The company defines the period. The company will contribute the amount to a funding agency such as a pension fund. The company is not liable for the amount of benefits the employee receives upon retirement. Therefore, the company must only contribute the amount that was set forth each period. Defined benefit plans, on the other hand, are more complex. Instead of contributing each period to the employees retirement account, the company agrees to provide a certain benefit amount each period upon retirement. Therefore, the company must ensure that the funding for such plans are adequate to cover the employee’s retirement benefit plan. Non-GAAP Funding Methods A company that offers defined benefit plans to their employees...

Words: 965 - Pages: 4

Shared Service Centres in the Balkans Study

...  2013  Shared Services Centers  Investment Potential of  Macedonia, Serbia and Albania Apostoloski Nenad  EMBA 2013  3/28/2013  Contents  EXECUTIVE SUMMARY .................................................................................................................................. 3  INTRODUCTION ............................................................................................................................................. 4  METHODOLOGY ............................................................................................................................................ 5  CURRENT LEVEL OF DEVELOPMENT ............................................................................................................. 6  MACEDONIA .............................................................................................................................................. 7  SERBIA ....................................................................................................................................................... 7  ALBANIA .................................................................................................................................................... 8  MARKET POTENTIAL  ................................................................................................................................... 10  . FACTORS OF COMPETITIVENESS ...................................................................................

Words: 6722 - Pages: 27

Financial Supervision of Third-Party Payment Based on Evolutionary Game

...Financial Supervision of Third-party Payment Based on Evolutionary Game Zhenyuan Zhu School of Management Tianjin University, Tianjin, 300072, China j_j8797@yahoo.com.cn Abstract: Under the assumption of low rationality, this paper establishes the Evolutionary Game model between the supervision departments of third-party payment and operators of third-party payment platform, studying the replicator dynamics equations and the procedure of dynamic evolutionary. Also it draws the conclusion that there is no evolutionary stable strategy based on the analysis of Jacobian Matrix. Furthermore, this paper gives strategies concerning both colonies to regulate the third-party payment market. Keywords: evolutionary game, third-party payment, financial supervision I. INTRODUCTION With the web technology and E-commerce thriving across the mainland, the expanding speed of Chinese third-party payment market (hereafter be shorted as “the Market”) has accelerated to a striking level. According to the Report on Development State of Chinese Online Payment Industry 2010-2011 conducted by www.iresearch.cn, the Market’s trading scale has raised to 353.7 billion RMB during the fourth quarter of 2010, increasing 129.4% year-on-year and 32.6% period-on-period. [1] Meanwhile the governmental supervision of third-party payment platform (hereafter be shorted as “the Platform”) remains vacant, leaving a risk of misappropriation with the numerous amount of sedimentary money preserved by......

Words: 2591 - Pages: 11

Reimbursement and Payment

...for health care, and most employers feel that their share of these costs for their employees is excessive. Currently, many Americans still do not have health care coverage” (Shader, 2013). In hopes of diminishing these cost, the United States Congress and President Obama passed a series of laws to help the American public receive the medical care that so needed. As part of these laws came pay-for-performance reimbursement systems. Even though this procedure for payment still has many details to be determined, this value-based payment system can be a response to quality care and performance. Pay-for-performance The newest trend in reimbursing medical providers is called pay-for-performance (P4P). This valued-based strategy allows a predetermined benchmark to be designated for medical care. If the provider meets or exceeds the standard he or she is paid bonuses for such care. If the provider does not meet the standard payment is reduced accordingly or fines may be put into place. The main focus of this form of payment is to reduce excessive medical costs and to increase quality of care of the patient, especially in preventive and chronic care. As with any new program or idea, pros and cons exist. Benefits to using P4P are that insurance companies and individuals will receive better quality care at reduced costs. Disadvantages of P4P include how costs or savings will be measured, how to determine the incentives or penalties for each level of care as well as how to determine......

Words: 1751 - Pages: 8

Mobile Payments

...Mobile Payments: Problem or Solution? Implications for financial inclusion Mike George, Linda Lennard and Kate Scribbins Foundation Further information This report and a summary version are available as a pdf from www.friendsprovidentfoundation.org. The summary is also available in print from Friends Provident Foundation, Pixham End, Dorking, Surrey, RH4 1QA (foundation.enquiries@friendsprovident.co.uk and www.friendsprovidentfoundation.org). Published 2013 by Friends Provident Foundation Pixham End Dorking Surrey RH4 1QA © AnKa 2013 ISBN 978-1-908769-08-4 (pdf ) All rights reserved. Reproduction of this report by photocopying or electronic means for non-commercial purposes is permitted. Otherwise, no part of this report may be reproduced, adapted, stored in a retrieval system or transmitted by any means, electronic, mechanical, photocopying, or otherwise without the prior written permission of Friends Provident Foundation. Friends Provident Foundation Friends Provident Foundation is a grant-making charity working to create the conditions throughout the UK for improved access to appropriate financial services for those who are currently excluded, particularly those on low incomes or otherwise vulnerable to market failure. It particularly wants to encourage thinking that deals with the causes of the problem. Established as part of the demutualisation of Friends Provident Life Office in 2001 and the flotation of Friends Provident plc, it is independent and has its own board...

Words: 22333 - Pages: 90

Shared Capitalism

...With the rising popularity of shared capitalism in the United States, it is worthwhile to analyze the effects this trend and the workplace theories that correspond to it. The purpose of the paper is to show not only how forms of shared capitalism in the workplace can increase overall employee compensation, but how several labor theories relate and support the outcomes of shared capitalism. More specifically, three theories will be extrapolated and the outcomes of shared capitalism will follow each theory. First, expectancy theory will be explained and followed by its correlation to motivation and increased compensation. Second, equity theory will be explained and followed by the results of ESOPs. Finally, an explanation of efficiency wage theory will be provided and followed by the outcome of pay on shirking. Expectancy theory hypothesizes that a person decides to act in a certain way due to their motivation to choose a certain behavior rather than another behavior because of what they expect the outcome of their chosen behavior will be. Hence, an individual will choose the behavior with the most desirable result. Expectancy theory is a type of pay-for-performance theory that focuses on the needs for institutions to reward employees based off of their performance and to ensure that those rewards are desired by the employees. The motivational force of the employee is theorized to be a function that is multiple of three factors: expectancy (the perceived link between......

Words: 1084 - Pages: 5

Reporting for Share-Based Payment and Special Purpose Entity

...Memorandum To: Kelly Stevens, Senior Auditor CC: Rebecca Kime From: Date: 4/28/2014 Re: Reporting for Share-Based Payment and Special Purpose Entity Purpose We compiled the information presented to address concerns surrounding the audit of McDowells, a publicly traded company. The memo explores both share-based payment and special purpose entities. It details the proper accounting methods for each item. Finally, we offer suggestions and guidelines to ensure McDowells complies with GAAP on these matters. CONFIDENTIAL Share-based payment and SPE The transactions related to the share based payment are defined as the proceedings in which any bodies attain or get the products or services by fulfilling the two vital requirements i.e. equity instruments of the entity or cash. In this transaction, the total sum is based on the entity's shares price. The financial statement on accounting for the share-based payment will furnish the full or more reliable information to the stakeholders such as investors, lenders or other users of financial statements. This will enable them to make an appropriate judgment based on the information given and also recognize the compensation cost referring to share-based payment dealings easily. This reporting portrays that in the financial statements making out the actual cost related to the share-based payments amends the comparability, reliability, and relevancy of that critical and valuable financial information of the company. It assists......

Words: 1048 - Pages: 5

Shared Values

...The Total is More Than the Sum of all its Parts. How Shared Values Direct the Social Responsibility James Ficorilli Indiana Wesleyan University The total is more than the sum of all its parts. How shared values direct the social responsibility According to Robbins and Coulter (2009), social responsibility is defined as a business’s intentions beyond its legal and economic obligations, to do the right things and act in ways that are good for society. Barnea and Rubin describe corporate social responsibility as “actions taken by firms with respect to their employees, communities, and the environment that go beyond what is legally required of a firm” (2010). The leadership issue I chose that most closely describes my view of social responsibility as a manager was equipping. The scripture from John 15: 1-6 describes how we are of the true vine in Christ and in order to bear fruit He prunes or shapes the vines; those that do not bear fruit are cut and taken away. In terms of social responsibility, my management view is to equip my employees with the necessary tools and training needed to accomplish the task at hand. As a manager my role is to give direction and guidance in order to achieve the desired results. Giving direction and guidance, equipping and training, all relate to the Biblical passage of pruning the branches in order to bear fruit or produce. The management decisions I make have to be in line with the socially responsible goals established by the......

Words: 1121 - Pages: 5

Financia Reporting

...again in the foreseeable future. * There are two types of events that, if they have a material effect on the income statement, require separate reporting below income from continuing operations as well as separate discloser: * Discontinued operations * Extraordinary items. * The objective is to separately report all of the income effects of these items. * INTRAPERIOD TAX ALLOCATION associates (allocates) income tax expense (or income tax benefit if there is a loss) with each major component of income that causes it. * More specifically, income tax is allocated to income from continuing operations of the two separately reported items. * The two items reported separately below income from continuing operations are presented net of the related income tax effect. * By definition, the income or loss stream from a discontinued operation no longer will continue. * The net-of-tax income effects of a discontinued operation are reported separately in the income statement, below income from continuing operations. * When the discontinued component is sold before the end of the reporting period, the reported income effects of a discontinued operation will include two elements: * Income of loss from operations of the component from the beginning of the reporting period to the disposal date * Gain of loss on disposal of the component’s assets. * If a component to be discontinued has not yet been...

Words: 2391 - Pages: 10

Shared Based Payments

...June 29, 2015 SUBJECT: Shared-Based Payment Reporting and Special Purpose Entities (SPE) CC: Team members ______________________________________________________________________________ As an Accounting Firm it is very important that we follow the most recently changed or amended regulations and standards set by the Financial Accounting Standards Board (FASB). As of 2009 the Financial Accounting Standards Board (FASB) has made amendments to Shared-Based Payment Reporting and Special Purpose Entities. The amendments made were to Statements No. 123 and 95 which covers the Share-Based Payments and Statements No. 123 and 95; the FASB. Also revised, Statements No. 166 and 167 which pertains to Special Purpose Entities (SPE). Share-Based Payment Reporting In the process of an audit, it is important to review the accounting process in terms of how share-based payment is reported to Sensure the entity processes are in line with Generally Accepted Accounting Policies (GAAP). Share-based payment is a complex area to both report on and audit as almost every transaction is unique and referencing IFRS No.2 for the purpose of the audit is not always clearly defined. Defined, share-based payment is an arrangement in which an entity purchases goods or services in exchange for issuance of the entity’s equity instruments or cash payments based on the fair value of those equity instruments. IFRS No.2 has two defined two measurements for each possible share-based transaction; as it......

Words: 936 - Pages: 4

Principles-Based Versus Rules-Based Accounting Standards: the Influence of Standard Precision and Audit Committee Strength on Financial Reporting Decision

...ultimately seek to increase the credibility of the financial reporting. Agoglia, Doupnik, and Tsakumis (2011) looked at two aspects related to the strength of the financial reporting: the influence of standard precision and the role of audit committee. This article had and referred to with particularly focus on the circumstance in US with regards to their rules-based approach of accounting. The more precision based accounting standards in US is suppose to dampen the executives' ability to manipulate financial results as well as increase comparability across all firms. However, all the accounting scandals brought to the attention of the public has began to question whether the rules-based standards are serving their purpose better than the other option: principle-based. Originally, the view was principle-based accounting standards offers more room for flexibility and interpretation in the view of the executives and therefore more prone to manipulation because it allows for differences in judgment. This also implies of reduced comparability across firms because of the variations permitted. However, research from the article suggests otherwise. Results from the experiment showed that under the precise standard, or the rules-based standards, preparers are more likely to make aggressive financial reporting decisions (Agoglia et al. 2011, p.10). Thus, on the opposite side, principle-based standards result in less aggressive reporting style (Agoglia et al. 2011, p.10). The......

Words: 1139 - Pages: 5

Creating Shared Value

...Corporations can create shared value by using their core capabilities in ways that contribute to both social progress and economic success. Some developing countries have experienced phenomenal economic growth, but that growth has not been inclusive. In recent decades, developing countries have experienced a rapid rate of economic growth. Although this has led to higher incomes and better health for many Developing countries, we still have far to go to make this growth truly inclusive. Developing countries are expected to fall short on several Millennium Development Goals: by 2015, it is expected that 40 percent of Developing countrie’s children will remain undernourished, and Developing countries will have progressed only halfway toward its goals for decreasing infant mortality. Inequality, poor public health, and environmental degradation will increasingly constrain their economic growth. Corporations play a critical role in achieving inclusive growth. Government is often seen as the answer to society’s problems, but spending by the Government of Developing countries alone will likely be insufficient to address these critical issues. governments can encourage contributions from the private sector by passing legislation and using its purchasing power to create a supportive, enabling environment. Philanthropy can also help catalyze change, but charity has a limited ability to sustainably achieve scale. The private sector, however, possesses skills and technologies......

Words: 7401 - Pages: 30

Payment Processing

...Optimal Payments Plc Audited Results for the year ended 31 December 2010 Mark Mayhew Joel Leonoff Keith Butcher Thursday, 31 March 2011 1 1 © Optimal Payments Plc. www.optimalpayments.com www.optimalpayments.com © Optimal Payments Plc. Agenda Introduction 2010 achievements 2010 financial performance Looking forward Conclusion Appendices A di Presentation team: Mark Mayhew CEO Mark Mayhew Mark Mayhew Keith Butcher Joel Leonoff Mark Mayhew Joel Leonoff CEO Keith Butcher CFO 2 © Optimal Payments Plc. www.optimalpayments.com Introduction 3 3 © Optimal Payments Plc. www.optimalpayments.com www.optimalpayments.com © Optimal Payments Plc. 2010 highlights Improved financial performance Business Transformation programme - simplification p p Newteller stored value platform operational Strengthened management team and Board Substantial progress on delivering Group 3 year strategy Transformational acquisition of Optimal Payments post year-end a s o a o a acqu s o o Op a ay e s pos yea e d 4 © Optimal Payments Plc. www.optimalpayments.com Optimal Payments Plc – who we are … NEOVIA Financial Plc + Optimal Payments Transaction closed 1 February 2011 NEOVIA renamed O ti d Optimal P l Payments Pl on 1 March 2011 t Plc M h Focused on providing payment solutions to online merchants and consumers through our “twin pillars” Straight Through Processing Stored Value Processing of transactions, either gateway or bureau......

Words: 3108 - Pages: 13

Spe Shared Based Reporting

...Auditors Subject: GAAP Requirements and Accounting Treatment for Share-Based Payment Reporting and Consolidation of Special Purpose Entity Week 6 Points to consider Memo on SPE and Share-based payments Evaluate Share-based payment reporting JJH->Share-based employee compensation awards are classified as either equity instruments or liability instruments. The measurement date for estimating the fair value of equity instruments is the grant date; the measurement date for liability instruments is the settlement date. Different rules also apply to public vs. private companies depending on the type of award instrument. (Executive summary, Paragraph 2) http://www.journalofaccountancy.com/Issues/2007/Apr/ARoadMapForShareBasedCompensation.htm Three features to help identify a share based transaction with employee program: 1. Employees that are shareholders are granted additional benefits Additional benefits indicate the entity is dealing with the individuals as employees or providers of services rather than as investors or equity holders. Examples of additional benefits include: • Employees have the right to additional shares if the business performs well (often referred to as a ratchet mechanism). • Employees’ rights depend on whether the entity floats or is sold through a trade sale (ie, in the event of a trade sale an employee may automatically get a cash payment or a number of shares). 2. The arrangement incorporates ‘leaver......

Words: 1838 - Pages: 8