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Tutorials

Hedge Accounting for equity options – free online course

by R. Venkata Subramani

Dear Professional members,

Hedge Accounting for Equity Options – a free online course is now available at Free Online Courses on Accounting

Hedge Accounting for equity options iscovered by Accounting Standards (AS 30 in India and IAS 39 under IFRS).

This course explains the following concepts.

Topic 1: Accounting Standards for Hedge Accounting

Lesson1 – Derivative Instruments & Hedging

Lesson2 – Differences between US GAAP & IFRS

Lesson3 – Salient Features of Hedge Accounting Standards

Completion certificate for Topic 1 – Accounting Standards for Hedge Accounting

Topic 2: Features of Accounting Standards relatingto Options

Lesson 4 – Options as Hedge

Lesson5 – When is hedge accounting permissible for Options?

Completion certificate for Topic 2 – Accounting Standards relating to Options

Topic 3: ETOs – Long Put as Hedging

Lesson6 – Trade life cycle of Option Contract

Completion certificate for Topic 3 – Trade Life Cycle of Equity Options

Topic 4: Illustration of Hedge Accounting forOptions

Lesson 7 – Put Options as Hedge

Summary of Hedge Accounting for Equity Options – Recapitulate Lesson

Assignment- Submit the answer in Excel or Word Document

Completion certificate for Topic 4 – Hedge Accounting for Options

Get your Merit Certificate for the entire Course

Completion certificate for the entire Course

Please feel free to take the course at http://courses.accountingforinvestments.com/

R. Venkata Subramani

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Salary Quiz by Sri A. Selvaraj, Chief Commissioner of Income Tax, (Retd.)

by R. Venkata Subramani

SelvarajDear Professional members,

Sri A. Selvaraj, CCIT (Retd.) has consented to share his insight in Income Tax Laws under the head Salary Income and Tax deducted at source thereon for ‘Accounting for Investments’, which we gratefully acknowledge.

Sri A.Selvaraj, Chief Commissioner of Income Tax (Retd.) was the Chief Commissioner of Income tax at Mumbai, Indore and Chennai, till 2007. As Additional Director (Faculty), National Academy of Direct Taxes, Nagpur 1992 -1995 introduced several innovations in teaching tax law and he was the popular Course Director of the 46th Batch of Indian Revenue Service during 1993 -1994.

Mr. Selvaraj was a Member of the Expert Group for rewriting and simplifying the Income tax Act. As convener of the latter, forcefully canvassed for and succeeded in expressing tax law in simple and direct language.

He is considered a resourceful trainer in tax law, tax practices and tax investigations and in areas of general law and management, and is the visiting faculty of several institutions, both government and private.

Professional colleagues are requested to please feel free to take the quiz at http://courses.accountingforinvestments.com/

R. Venkata Subramani

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Online Courses on Accounting for Investments, Financial Instruments, Accounting Standards

by R. Venkata Subramani

We have now started the online resources for Accounting Studies. Visit: Online Courses on Accounting Studies What topics are covered here? Online courses are available on several topics of professional interest in the Accounting and Finance area Accounting Standards as per US GAAP, IFRS, etc. Financial Instruments like equity derivatives, Interest Rate Derivatives, Credit Derivatives, [...]

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Feedback on Online Courses

by R. Venkata Subramani

Dear Friend, Please leave your valuable feedback on the various online course taken by you in this site. This will enable us to improve the presentation. Best Regards, R. Venkata Subramani

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Explanation of significant terms in CDS Contract

by R. Venkata Subramani

Protection The buyer gets ‘protection’ on credit risk of the issuer. The seller acts as an insurer for the notional value of the CDS. The seller gets the premium and that is the maximum revenue that the seller of the protection gets. Credit risk The credit risk forms the subject matter of this insurance contract. [...]

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Explanation of CDS in simple terms

by R. Venkata Subramani

Fixed income securities are issued by a company to raise debt financing.  These are called corporate bonds and usually these bonds have a fixed coupon rate and a fixed maturity period usually 10 to 30 years. The coupon rates can also be variable and can be linked to any interest rate like LIBOR. An investor [...]

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Sub-prime credit cards

by R. Venkata Subramani

Credit card companies in the United States offered sub-prime credit cards usually with lower credit limits and charged high fees and interest rates sometimes as high as 30% or more. With slowdown in economic growth in the United States in 2002, the default rates for sub-prime credit card holders increased, compelling sub-prime credit card issuers [...]

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What is Settlement date accounting?

by R. Venkata Subramani

Following settlement date accounting, the asset as well as the liability is recognized on the settlement date. Here the asset gets recorded only at the value at which it is actually settled, the difference between the cost of acquisition actually payable for such investment and the value at which it is recorded in the books [...]

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What is Trade date accounting?

by R. Venkata Subramani

When an asset is purchased, in trade date accounting, the asset is recognized and brought into the books of account on the date of trade and a corresponding liability is established. The liability is knocked off when the settlement of the liability happens. When the asset purchased is in a foreign currency, it leads to [...]

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What is Transient FX Translation Entry?

by R. Venkata Subramani

This represents accounting for currency gains or losses that are seen on the continuing assets or liabilities of the investor. Example of this type includes the currency gains on the market value of the equity shares as recorded in the functional currency. This type of gain or loss is of temporary in nature and will [...]

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