FASB Aims to Reduce Financial Statement Disclosures
Addressing complaints from companies and their auditors over the workload of financial statements, the Financial Accounting Standards Board (“FASB”) has made the decision to no longer require companies to disclose information on quarterly reports that was previously stated on annual reports. Announced at its recent meeting, the FASB’s decision is an effort to improve financial statement disclosures, eliminate information repetition and minimize the reporting burden on companies. Per the decision, footnote disclosures in annual statements would be repeated in quarterly statements only if a “reasonable investor” viewed any new details as considerably altering the “total mix” of available information. If. Read More.
FASB Wants to Simplify U.S. GAAP
Announced on May 28th, the Financial Accounting Standards Board (“FASB”) is working on two projects planned to make U.S. GAAP less complicated. Called the “simplification initiative”, both proposals are aimed to remove the concept of “extraordinary items” from U.S. GAAP and simplify the ensuing inventory measurement. The proposals include Subtopic 225-20, Income Statement — Extraordinary and Unusual Items, and Topic 330, Inventory. Per Subtopic 225-20, organizations are required to categorize and disclose one-time, “extraordinary” events and transactions. An event is labeled “extraordinary” if it’s unusual and infrequent. If both conditions are met, then the organization must separate the event from. Read More.
FASB and IASB Form Joint Transition Resource Group
Announced by the Financial Accounting Standards Board (“FASB”) and International Accounting Standards Board (“IASB”), the Joint Transition Resource Group for Revenue Recognition (“the Group”) will notify both boards of any issues businesses experience when implementing new guidance. Group members consist of financial statement preparers, auditors and users from various industries and locations, and public and private organizations. Scheduled to meet for the first time on July 18th, the Group will hold two meetings this year and four next year. All meetings will be open to the public, and co-chaired by the FASB and IASB’s vice chairmen. Although the Group will. Read More.
SEC’s Stout Presents at PCAOB Forum for Broker-Dealers
At the May 28th “Auditing Smaller Broker-Dealers” forum, the U.S. Securities and Exchange Commission’s (“SEC”) Kevin Stout presented his thoughts on SEC broker-dealer rulemaking and applying auditor independence rules relating to auditing broker-dealers. Stout, the SEC Senior Associate Chief Accountant, covered various topics in his presentation like SEC broker-dealer financial responsibility amendments, new rules that change annual reporting requirements for some broker-dealers, and examples of SEC independence rules that are applicable to broker-dealer audits. Hosted by the Public Company Accounting Oversight Board (“PCAOB”), the forums offer public accounting firms in the smaller broker-dealer community a chance to learn additionally about. Read More.
Opportunities for Small Businesses – SBIR Program
The Small Business Innovation Research (“SBIR”) program (“the Program”) enables small businesses to explore their technological potential and provides the incentive to profit from its commercialization. The mission of the Program is “to support scientific excellence and technological innovation through the investment of Federal research funds in critical American priorities to build a strong national economy.” High-tech companies that meet the eligibility requirements should heavily consider exploring the availability of federal government grants and contracts through this Program. The eligibility requirements include: business must be for-profit; be independently owned and operated in the United States; have less than 500 employees;. Read More.
Results of Cherry Bekaert’s 2014 Local Government Benchmarking Survey
Encouraged by increased participation over the past two years, Cherry Bekaert recently undertook the 3rd Edition of our Local Government Benchmarking Survey. In preparation for this year’s survey, we listened to respondent feedback and modified our 2014 survey questions accordingly. Conducted in March, the survey included participants from 180 government operational and financial leaders throughout the Southeast. We are pleased to present the results of this year’s survey, as well as share our three-year trend analysis data.