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AICPA Revenue Recognition Task Force Issues Exposure Drafts

In response to Financial Accounting Standards Board Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers, the American Institute of Certified Public Accountants (“AICPA”) Revenue Recognition Task Force has issued the following revenue recognition exposure drafts for comment: Brokers and Dealers Issue 3-4: Underwriting Revenues Telecommunications Issue 15-8 – Determining the Transaction Price Comments on the exposure drafts are due January 2, 2018. The AICPA is seeking comment on the issues. The comment period ends January 2, 2018.

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New AICPA Technical Questions and Answers Issued on Public Businesses

The American Institute of Certified Public Accountants (“AICPA”) has issued new Technical Questions and Answers (“TQAs”) offering guidance for related terminology and other matters concerning public business entities. Section 7100, Definition of a Public Business Entity, features 16 new questions and answers to help a company determine its status as a public business. Included in the TQAs is detailed guidance addressing depository institutions, broker-dealers, insurance companies and nonprofits. A press release on Section 7100 is available on the AICPA website.

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SEC Staff Experiences Uptick in Revenue Standard Implementation Questions

As public companies prepare to implement Accounting Standards Update No. 2014-09, Revenue From Contracts With Customers (ASC 606), they are increasingly turning to Securities and Exchange Commission (“SEC”) staff members for implementation guidance. It is being reported that submitted questions concerning the Financial Accounting Standards Board’s (“FASB”) revenue recognition standard increased by one-third last year, largely due to public companies needing assistance with financial reporting. One question submitted to the SEC involves revenue from credit cards. A company asked for guidance on its decision to record revenue from interchange fees that a merchant’s bank pays to the cardholder’s bank. Speaking. Read More.

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Exposure Draft Issued on Selected Procedures Standard

The Auditing Standards Board of the American Institute of Certified Public Accountants recently issued an exposure draft regarding the Proposed Statement on Standards for Attestation Engagements (“SSAE”), Selected Procedures. The proposal offers guidance on procedures outside of the scope of AT-C Section 215, Agreed-Upon Procedures Engagements. In addition, the proposed SSAE helps distinguish a selected procedures engagement from an agreed-upon procedures engagement. For instance, the practitioner would be exempt from requesting or obtaining an assertion from any party. Another key aspect is that the practitioner would not have to limit how the report is used, but could allow a wider. Read More.

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New Proposed Audit Data Standard Offers Efficiency, Uniformity

The American Institute of Certified Public Accountants (“AICPA”) has proposed new standards for collecting and submitting audit data. The goal is to make audits more efficient and more effective by proposing standardized formats for commonly requested audit data and for the most frequently used files for audits. The Emerging Assurance Technology Task Force arm of the AICPA’s Assurance Services Executive Committee (“ASEC”) published an exposure draft of their recommendations on August 8, 2017. The draft, titled Audit Data Standard – Fixed Asset Subledger Standard (“Exposure Draft”), is open to comments through November 6, 2017. Should the proposed information and standards in. Read More.

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AICPA Accounting and Review Services Committee Meeting

From Tuesday to Thursday this week, the Accounting and Review Service Committee (“ARSC”) of the American Institute of Certified Public Accountants (“AICPA”) met in Boston, MA. Some of the agenda topics that were expected to be covered included: Proposed Statement on Standards for Attestation Engagements (SSAE), Selected Procedures; Draft proposed SSARS, Omnibus Statement on Standards for Accounting and Review Services 2018 International Standard on Review Engagements (ISRE) 2400 (Revised), Engagements to Review Historical Financial Statements (ISRE 2400 (Revised)), including comparison of ISRE 2400 (Revised) to AR-C Section 90, Review of Financial Statements; and Consideration of Inconsistency in AT-C Section 210.. Read More.

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