November 1999 - Journal of Accountancy

EXECUTIVE SUMMARY DUAL-TRIGGER INSURANCE POLICIES offer businesses a new way to cover risks that otherwise would be difficult to insure. A dual-trigger policy pays only if both risk threshholds are passed. THE PROBABILITY THAT TWO UNCORRELATED triggers are both met is considerably lower than the probability that either one independently

EXECUTIVE SUMMARY BUSINESSES ALL OVER THE COUNTRY will soon have to decide who is going to provide their electricity. Although deregulation is not yet in full force nationwide, there is no doubt that it will be within the next 10 years. In adjusting to this rapidly changing industry, CPAs and

ith an eye on the future, yet mindful of the strong foundation built by his predecessors, Robert K. Elliott assumed the AICPA chairmanship at the Institute’s annual meeting in Seattle in October. “I’m aware I’ll be in the chair when the digits ‘click over’ to the year 2000. I suppose

EXECUTIVE SUMMARY MENTORING GROOMS YOUNG STAFFERS for important positions and prepares firms and companies for the future by creating a pool of employees with skills to eventually manage. MENTORING PROGRAMS NOT ONLY are an attractive benefit to students, they may help you retain employees. BESIDES THE TRADITIONAL PAIRING of senior

EXECUTIVE SUMMARY THE AICPA AND THE CICA HAVE JOINTLY INTRODUCED an assurance service, SysTrust, in which practitioners report on the reliability of an entity’s systems. To earn an unqualified SysTrust report, a system must meet all of the 4 principles and 58 criteria. A SYSTEM IS AN INFRASTRUCTURE of hardware,

EXECUTIVE SUMMARY ELECTRIC UTILITY DEREGULATION introduces new price risks for companies that consume large quantities of power. Several electric utilities have been surprised by sudden dramatic electricity price moves. Hedges can reduce that risk. A HEDGING STRATEGY CAN BE as simple as a long-term fixed-rate contract or as complicated as

EXECUTIVE SUMMARY THERE ARE NUMEROUS OPPORTUNITIES for CPAs to make a difference in their communities. Many volunteer accounting services are provided through such not-for-profit groups as Accountants for the Public Interest (API). VOLUNTEERS COME FROM ALL SECTORS of the accounting profession, including public accounting firms, private industry, government and education.

EXECUTIVE SUMMARY WITH COLLEGE COSTS RISING, MANY FAMILIES are making use of qualified state tuition programs (QSTPs) to prepare for the costs of their children’s education. Governed by IRC section 529, the programs fall into two categories: prepaid tuition plans and savings plans. Most new plans are the latter. CONTRIBUTIONS