Accounting for Risk, Hedging and Complex Contracts

ISBN-13: 9780415808934 / Angielski / Twarda / 2013 / 592 str.

Rashad A. Abdel-Khalik

Opis

With the exponential growth in financial derivatives, accounting standards setters have had to keep pace and devise new ways of accounting for transactions involving these instruments, especially hedging activities. This book addresses the essential elements of these developments. The early chapters provide a basic foundation by discussing the concepts of risk, risk types and measurement, and risk management. This is followed by an introduction to the nature and valuation of free standing options, swaps, forward and futures as well as of embedded derivatives. Discussion and illustrations of the cash flow hedge and fair value hedge accounting treatments are offered in both single currency and multiple currency environments, including hedging net investment in foreign operations. A final chapter is devoted to the disclosure of financial instruments and hedging activities. The combination of these topics makes the book an essential, self-contained source for upper level students looking to develop an understanding of accounting for today's financial realities.

Spis treści

@Contents: Preface  Part 1: Foundation  1. Risk Definitions and Risk Appetite  2. Types of Risk  3. Measurement of Risk  4. Basics of Risk Management  Part 2: Instruments  5. An Overview of Derivative Instruments  Part 3: Accounting  6. Hedge Accounting Qualifications 7. Hedge Accounting I (Single Currency)  8. Hedge Accounting II (Single Currency)  9. Accounting for Embedded Derivatives  10. Currency and Hedging Transaction Risk  11. Hedging Currency Operating and Translation Risk  12. Disclosure

O autorze

A. Rashad Abdel-khalik is a Professor of Accountancy and Director at the V.K. Zimmerman Center for International Education and Research of Accounting at the University of Illinois Urbana-Champaign, USA.