document prepared for an individual using the accrual basis of accounting rather than the cash basis. A Statement of Financial Condition shows asset at estimated current values listed by order of liquidity and maturity without classification as current and noncurrent. Business interests that constitute a large part of total assets should be shown separately from other investments. Only the person's interest (amount that person is entitled to) as beneficial owner should be included when assets are jointly owned. Liabilities are shown by order of maturity without classification as current or noncurrent. A Statement of Changes in Net Worth is optional showing the major sources and uses of net worth. Comparative financial statements are also optional . Footnote disclosures should be made of the following: (1) individuals covered by the financial statements; (2) major methods used in determining current value; (3) nature of joint ownership of assets; (4) face amount of life insurance owned; (5) Nonforfeiture rights that do not qualify for asset inclusion (i.e., pensions based on life expectancy); (6) methods and assumptions used to compute estimated income taxes; (7) maturities and interest rates relating to receivablesand debt; and (8) noncancellable commitments not reflected under liabilities (i.e., operating lease).
document prepared for an individual using the accrual basis of accounting rather than the cash basis. A Statement of Financial Condition shows assets at estimated current values listed by order of liquidity and maturity without classification as current and noncurrent. Business interests that constitute a large part of total assets should be shown separately from other investments. Only the person's interest (amount that the person is entitled to) as beneficial owner should be included when assets are jointly owned. liabilities are shown by order of maturity without classification as current or noncurrent.
