[Anonymous]

The president of the company I work for asked me to investigate IRB’s. I responded with a “deer in the headlights” look and told him I had no idea what that was. He told me they are industrial revenue bonds and are a cheap way to borrow money (keep in mind, he has no accounting experience and was clearly told by someone else that he should check them out). I was able to find a little bit out about them and it appears they need to be used for a specific purpose (i.e. can’t just be used for general operation). He also wanted me to find out how they would impact the financials… I can’t find anything on that. Are they just accounted for as regular bonds or different because they are conduit borrowing? If anyone has a good resource for this, I would greatly appreciate it! I realize this really isn’t related to the CPA exam, but didn’t really have anywhere else to turn for initial research.

Thanks!