7-2 Final Project Milestone Three: Foreign Currency Transactions and Statements

ACC 690 Milestone Three Guidelines and Rubric

Overview

The final project for this course is the creation of a white paper consisting of a report and spreadsheets. You will be placed in a scenario in which you will take the role of an associate in a certified public accountant (CPA) firm. The CPA partners in the scenario ask you to create a report for the firm’s clients to help address some of the questions they ask. You will address questions from the firm’s clients by assembling the necessary information in a written report format. Your report should include spreadsheet examples. Topics addressed in the white paper will cover bankruptcy, interim and segment reporting, foreign currency transactions, and nonprofit and governmental accounting.

Your three milestone assignments for this course consist of drafting shorter reports and supporting spreadsheets, which will prepare you for the completion of a comprehensive white paper. You should use your instructor’s feedback from the milestone submissions to improve your final submission.

Prompt

For Milestone Three, draft a short paper and the necessary spreadsheets for Section I, Part D of the final project.

Specifically, the following critical elements must be addressed:

1. Incorporation: Clients considering structuring their new business as a corporation are aware that there are complex issues to consider when accounting for an incorporated entity. The clients want information about the following key areas:When incorporating, it is important to consider whether or not the company will conduct business internationally.Summarize the impact of foreign exchange rates on the company’s financial statements. What risks do foreign exchange rates pose? Provide academically supported example(s) in your response.What are the two methods used to translate financial statements and how does the functional currency play a role in determining which method is used? Provide academic support in your response.Compose a hypothetical example to demonstrate the translation process using the two methods. Ensure all information is entered accurately

What to Submit

Your paper must be submitted as a 2- to 3-page Word document (excluding the title page, reference page, and spreadsheet addendums). Use double spacing, 12-point Times New Roman font, one-inch margins, and at least two academic sources (in addition to your textbook) cited in APA format. Your accompanying spreadsheets must be submitted as Microsoft Excel files.

Milestone Three Rubric

0%)

Incorporation: Impact of Foreign Exchange Rates

Incorporation: Two Methods to Translate Financial Statements

30

Incorporation: Demonstrate the Translation Process

30

Articulation of Response

10

Criteria	Proficient (	10	Needs Improvement (70%)	Not Evident (0%)	Value
Summarizes the impact of foreign exchange rates on the financial statements and determines the risks they pose, providing academically supported example	Summarizes the impact of foreign exchange rates on the financial statements but does not determine the risks they pose, or summary is cursory, not supported, or has inaccuracies	Does not summarize the impact of foreign exchange rates on the financial statements			30
Describes the two methods used to translate financial statements and how the functional currency plays a role in determining which is used, with academic support	Describes the two methods used to translate financial statements but does not describe how the functional currency plays a role in determining which is used, or description is cursory or has inaccuracies	Does not describe the two methods of translation
Composes a hypothetical example demonstrating the translation process using the two methods and ensures all information is entered accurately	Composes a hypothetical example demonstrating the translation process using the two methods but contains inaccuracies	Does not compose a hypothetical example
Submission has no major errors related to citations, grammar, spelling, syntax, or organization	Submission has major errors related to citations, grammar, spelling, syntax, or organization that negatively impact readability and articulation of main ideas	Submission has critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas
Total:	100%