FASB and FASAC Discuss Technology’s Role in Future Standard-Setting
Without providing a clear picture of how the Financial Accounting Standards Board’s (“FASB”) agenda will be impacted by technological advances, the board’s Financial Accounting Standards Advisory Council (“FASAC”) considered the future of financial reporting at its June 15 meeting. FASB and FASAC members both agreed investment firms’ technology use has evolved to the point that financial reporting may also change. FASB member and former fund manager Harold Schroeder stressed that companies, auditors, and standard-setters are facing a rapidly changing business environment with multiple users that rely on financial information. Schroeder said as time goes on, the evolving financial landscape changes. Read More.
FASB Passes on Fair Value Definition Project
A project to amend the “readily determinable fair value” definition will not be taken up by the Financial Accounting Standards Board (“FASB”). In a 6-1 vote at its March 1 meeting, the FASB declined adding the project to the board’s standard-setting agenda. FASB Vice Chairman James Kroeker said efforts to clarify the definition are unnecessary, but Chairman Russell Golden encouraged staff members to follow up with critics who raised concerns about the definition.