Week 5 Course Project Your Name. ACCT540 Professional Research in Accountants Jim Racic 2/3/2016

In the last part of this project, it has come up that the controller of the company, Thomas Foods, lacks individual experience in regards to hedging strategies and how it relates to the accounting aspect of hedging. Because of the Controllers inexperience, I have been tasked with providing examples of strategies and explaining how these hedges are realized and accounted for on the books.
Two strategies the Controller of Thomas Foods needs to be able to understand are fair value hedges as well as cash flow hedges. Fair value is connected with a known asset or liability, but it could be connected with an unrecognized commitment. Any gains or losses from this proposed...