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• W289644984 abstract "CASE DESCRIPTION The primary subject matter of this case concerns accounting issues in a company that manufactures and sells gaming supplies. Specific issues examined include taxation and financial reporting related to exclusivity contracts, prior period accounting errors, leases, loss contingencies, and forward currency contracts. The case has a difficulty level of four, so it would be appropriate to use in senior level accounting courses or in master's level courses. The case is designed to be discussed in one to two class hours and is expected to require approximately 15-20 total hours of outside preparation by students (three to four hours per case issue). It can be utilized as an extensive course project requiring all students to research all five issues, or each of the five case issues can be assigned to a separate student team so that each team researches just one issue. CASE SYNOPSIS This case is designed to improve accounting students' skills in regard to researching financial reporting standards and tax law and using critical thinking to apply the accounting and tax rules and guidelines to Gaming Supplies Incorporated's (GSI) situation. GSI is a manufacturer of gaming supplies, including dice, gaming chips, playing cards, and gaming tables and equipment used in casinos. Joe Newby, a recent accounting graduate, finds himself on the GSI engagement. He is asked by his supervisors to research several accounting and tax issues related to GSI's activities, including a contract involving exclusive rights to security technology embedded in its gaming chips, an accounting error found in previously issued annual reports, new leasing contracts, and a forward currency contract. Students are asked to take on the role of Joe Newby and research these issues and formulate conclusions as to how they should be handled by GSI. The case provides students with a unique opportunity to examine real business issues and their impact on both accounting and tax reporting. Students must access the new FASB Accounting Standards Codification in order to adequately address the case issues, thereby getting exposure to the new standards format and gaining familiarity with search methods appropriate for the new format. THE CASE: GAMING SUPPLIES INCORPORATED Joe Newby recently graduated from University of Nevada, Las Vegas with a degree in Accounting and landed a job with a large regional accounting firm. Just back from two weeks of training for new staff accountants, Joe gets called into Phil Filer's office. Phil is one of the firm's partners and has been designated as Joe's partner mentor. Phil: Come on in, Joe. I want you to meet Diane Smith. Diane is the senior accountant in charge of the Gaming Supplies engagement. I'd like you to work with her on the engagement team. Diane: Hi Joe, nice to meet you. Joe: Hi. I've never heard of Gaming Supplies. What kind of engagement is it? Phil: We do the audit and tax work for the company, and I want you to get some experience with both. If you've ever been to a casino, you've probably seen at least some of the products the company makes. Gaming Supplies Incorporated, GSI for short, is a publicly traded company that manufactures and distributes gaming equipment and supplies. The company's products run the gamut, from small items such as playing cards, dice and gaming chips to table layouts, roulette wheels, and gaming furniture. The company has two wholly-owned subsidiaries: one in Mexico and one in Europe. The company's sales in the United States are all handled through its corporate headquarters here in Las Vegas, while its international sales are handled through the European subsidiary. The Mexico operation is strictly manufacturing. Diane: There's a lot more to manufacturing casino chips and dice than you would think. A lot of cash goes through casino operations, making security controls very important in the industry. …" @default.
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• W289644984 date "2011-01-01" @default.
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• W289644984 title "Gaming Supplies Incorporated" @default.
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