1. You are studying to enter professions that require high moral and ethical behavior. Your commitment to such standards should begin in this class and continue through every class in your graduate degree program. This week's discussion questions:

1) Why ethics and professional conduct are so important in the accounting professions, and
2) Why behaving ethically in your graduate studies is critical to your goal to graduate and work in the accounting industry.

Randomly select one of the professional accounting organizations from the list below.
- Summarize and discuss the professional code of ethics of the organization you selected.
- Identify a few of the key codes and or responsibilities of ethical and professional conduct in this organization.
- Discuss their importance and how you, as students can model these behaviors.

Some major professional accounting associations/organizations include:
- American Accounting Association
- American Institute of CPA's
- American Society of Women Accountants
- American Taxation Association
- Association of Certified Fraud Examiners
- Association of Government Accountants
- Chartered Global Management Accountants
- Information Systems Audit and Control Association
- Institute of Internal Auditors
- Institute of Management Accountants
- Institute of Industrial Accountants
- Insurance Accounting and Systems Association
- International Association of Accounting Education
- National Association of Black Accountants
- National Society of Accountants
- Professional Association of Small Business Accountants
- Professional Accounting Society of America
- Your state" Society of CPA's

2. US Companies Shiting Earnings Overseas

FASB Codification Topic #740

U.S. companies are saving $100 billion a year by shifting profits overseas by Ranae Merle;

Video: Tax Havens Explained with Maps

Questions to spark class discussion:
- Is shifting profits overseas tax fraud? Why or why not?
- Explain the mechanism companies are using to shift profits overseas.
- Which countries are companies shifting profits to and why (be specific)?
- Propose U.S. Congressional acts that could mitigate the lost of tax revenue caused by companies shifting profits overseas .
- Describe the risks of shifting cash from illegitimate organizations to legitimate financial markets.
- Does shifting earnings overseas impact earnings per share for US shareholders? Be specific.

3. FASB Drops Step 2 from Goodwill impairment Test

Summary: In June 2016, FASB proposed a change to goodwill accounting that would remove step 2 impairment testing aimed at measuring the implied fair value of goodwill. At that time, the proposed ASU, which is intended to simplify the accounting for goodwill impairment, would instead require an entity to "recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value. However, that amount should not exceed the carrying amount of goodwill allocated to that reporting unit."

READ:
FASB Proposes Amendments to Simplify Goodwill Impairment Accounting
by: Deloitte CFO Journal Editor; June 17, 2016
Reviewed By: Linda Christiansen

In January 2017, FASB issued an Accounting Standard Update.
READ: Accounting Standards Update No. 2017-04, Intangibles-Goodwill and Other (Topic 350):
Simplifying the Test for Goodwill Impairment

Scan (for now): FASB Accounting Standard Update No. 2017-04, January

Students are advised to thoroughly read and understand the new ASU before completing the writing assignment / case study.

Randomly select and answer 1 of the following statements to spark class discussion:
Reminder: the goal is to engage with your classmates; simply posting your answer is insufficient to earn credit for discussions
- Discuss the meaning of goodwill impairment and how it is computed under current accounting standards.
- Notice the sentences and sections of the new ASU that have been crossed out in the document above that you scanned and evaluate the process from releasing the proposed change in accounting standard to the issuance of the new ASU.
- Discuss how IFRS rules are similar to or differ from GAAP accounting for goodwill impairment.
- Discuss the concept of implied fair value.

Attachment:- Discussion Assignment.rar