Sallie Mae Releases Annual College Report
Last week, Sallie Mae issued the results from its “2013 How America Pays for College” report. Surveying 800 parents and 800 undergraduate students, the lender reviewed how U.S. families managed the growing cost of higher education. Based on the findings, it was determined that 22 percent of the cost of college was borrowed by U.S. families last year. The percentage marks a five percent drop from the past two years, and is being contributed to families using savings, income, tax credits, and/or accelerating studies as reasons behind the trend. For the complete story , visit the Financial Advisor site. Also learn about. Read More.
Landscape or “Minescape” for Potential Mergers with Government Contractors
As we work with potential acquirers of government contractors, it sometimes feels like we are holding hands and walking through a minefield. Last year’s government budget landscape was full of potential mines just waiting for us to make a wrong step and boom! Sequestration cuts, occasional insourcing of positions, government shutdown, procurements shifting to Lowest Priced Technically Acceptable solicitations, and other potential “landmines” all collided to make buyers very wary about investing their capital in the government contractor market. The mergers and acquisitions (M&A) market for government contractors has changed dramatically in the past two years, and appears to be. Read More.
Corp Fin’s Higgins Responds to Lawmakers’ IFRS Questions
With tension mounting among lawmakers requesting the U.S. Securities and Exchange Commission (“SEC”) propose a rule on IFRS adoption, Keith Higgins addressed the agency’s consideration of the international standards. At the House Financial Services Subcommittee on Capital Markets and Government Sponsored Enterprises on July 24th, the director of SEC’s Corporation Finance Division referenced Mary Jo White’s May speech by reiterating her expectations to use IFRS more aggressively and have a clear strategy on the standards by year’s end. Higgins, however, did not mention whether U.S. companies would have the option to adopt IFRS. Reflecting a letter sent by members of. Read More.
Topics: Congressional Caucus on CPAs and Accountants, Corporate Finance Division, House Financial Services Subcmmittee on Capital Markets and Government Sponsored Enterprises, IFRS, International Standards, U.S. Securities and Exchange Commission "SEC"
Senators Propose Merging Internet Tax Bills
With the House of Representatives recent passing a permanent extension of the Internet Tax Freedom Act, a group of Senate Democrats are moving forward with their 10-year extension proposal to merge the bill with the Marketplace Fairness Act. If successful, the proposal would unite a bill that gives states power to charge sales tax on online purchases with the bill prohibiting states from imposing taxes on Internet access. Although a vote could occur as early as this week, several lawmakers have little interest in the proposal. Visit The Hill for the complete story. Visit our website to find out more about our. Read More.
CAQ Study Shows Big Drop in Financial Restatements
Evaluating financial restatement trends over the ten-year period after the Sarbanes-Oxley Act’s (SOX) implementation, the Center for Audit Quality (CAQ) recently released the findings of its study, Financial Restatement Trends in the United States: 2003–2012. Authored by University of Kansas Professor Susan Scholz, the report focuses on restatement activity that was disclosed by U.S. Securities and Exchange Commission-registered filers. Per Scholz’s analysis and findings, it was determined that financial restatements have dramatically decreased over the years. Major takeaways from the report include the following: Contributed to the implementation of SOX Section 404 internal control reporting, restatement announcements reached its peak. Read More.
Topics: Audit, Banking, Center for Audit Quality "CAQ", Chemicals, Energy, Financial, insurance, Internal Control Reporting, Mining, Restatement, Sarbanes-Oxley Act "SOX", Software, Technology, U.S. Securities and Exchange Commission "SEC"
Updated Conceptual Framework Proposal Comment Letter Approved
During its July 15th teleconference, the American Institute of Certified Public Accountants’ Financial Reporting Executive Committee (“FinREC”) approved an updated draft comment letter related to the Financial Accounting Standards Board’s (“FASB”) Proposed Statement of Financial Accounting Concepts (CON) No. 2014-200, Conceptual Framework for Financial Reporting-Chapter 8: Notes to Financial Statements. Despite not providing official guidance to users of financial statements, the proposal offers guidelines for writing U.S. GAAP disclosure requirements. Signed by FinREC’s Richard Paul and Rick Day, the seven-page letter orders FASB to review current disclosure requirements, and remove repetitive disclosures and insufficient information. Per the letter, the simplification of disclosures will. Read More.
Topics: American Institute of Certified Public Accountants "AICPA", disclosure, Financial Accounting Standards Board "FASB", Financial Reporting Executive Committee "FinREC", Financial Statements, U.S. GAAP