Visit cpajournal.com to read the very latest from The CPA Journal
November 2009 » Derivative Measurement and Reporting...
Full articles of The CPA Journal are available to NYSSCPA members and CPAJ subscribers ONLY. Please login to access this content.
Nonmembers and nonsubscribers, you can apply for NYSSCPA Membership here and get unlimited access to The CPA Journal, or you can create a non-member online account here and purchase individual articles.
Lawrence M. Metzger, PhD, CPA, CMA, CFM
In June 2008, the Government Accounting Standards Board (GASB) issued Statement 53, Accounting and Financial Reporting for Derivative Instruments. Derivatives are used primarily for two purposes: investment and risk management. In general, the investment use of derivatives can be thought of as speculation, an aggressive form of investing in which the investor is willing to assume substantial risk of losses in return for the possibility of sizeable profits. Using derivatives for this purpose is a highrisk activity. In contrast, the use of derivatives for risk management allows governments to reduce business risks that they would otherwise be exposed to (i.e., to lower risk). The focus of Statement 53 is on using derivatives to hedge against future risk.
Advertising with the NYCPA is your opportunity to reach the greatest number of business advisors in the most important business state in the nation.
Post a resume or job listing in our Career Center to connect with hundreds of employers or job seekers.
Join 21,000+ of your peers. Apply for membership today!
Find CPE Conferences, Seminars, and Online Courses Here.
Get insight and analysis into all areas of the profession.
Content provided by and exclusively for NYCPA members.
Stay up to date with important NYCPA news.
A daily roundup of the latest from around the accounting and financial industry.
A strong PAC means a strong profession. Donate Today.
Help develop a strong network of connections.
A resource for NYCPA Members.
Members, Get expert answers to technical questions.
Start your career off right with an experienced mentor.
It's never too early to start thinking about your career.