Not-for-Profit Advisory Committee to Meet with FASB on Thursday
Scheduled for Thursday, the Financial Accounting Standards Board (“FASB”) will hold its second meeting next week with the Not-for-Profit Advisory Committee (“the Advisory Committee”) from 10:00 a.m. to 5:30 p.m. As part of the meeting agenda, the FASB plans to discuss with the Advisory Committee its project on financial statements of nonprofit entities, as well as current trends, concerns and observations. All general sessions from the meeting will be open for public observation. In addition, the Advisory Committee will host a breakout group session at 11:00 a.m. and 2:30 p.m. Due to space limitations, the group discussions will not be. Read More.
FASB Announces Topics for September 3rd Board Meeting
Prepping for its board meeting Wednesday, the Financial Accounting Standards Board (“FASB”) has announced the three topics it will cover: Financial instruments—impairment. FASB will continue to discuss Proposed Accounting Standards Update, Financial Instruments—Credit Losses (Subtopic 825-15). The discussion will focus on write-off guidance and clarifying the term which an entity should estimate its projected credit losses for financial instruments. Disclosure framework: disclosure review—fair value measurement. FASB plans to cover application to fair value disclosures of the concepts in the proposed FASB Concepts Statement, Conceptual Framework for Financial Reporting—Chapter 8: Notes to Financial Statements. While no decisions are anticipated from the discussion, prospective. Read More.
FASB Issues ASU No. 2014-15 to Help Reporting of Going Concern
Helping to disclose substantial doubt concerning a company’s ability to move forward as a going concern, the Financial Accounting Standards Board (“FASB”) has released Accounting Standards Update (ASU) No. 2014-15 , Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. Announced on Wednesday, the ASU provides principles and definitions to an organization’s management for decreasing diversity in disclosures that are currently made available in financial statement footnotes. Presently, U.S. GAAP does not provide an organization’s management guidance regarding its responsibility to assess whether substantial doubt exists regarding the ability to continue as a going concern. Read More.
The New Revenue Recognition Standard: Step 1 – Identify the Contract with a Customer (Part I)
As mentioned in our previous blog , on May 28th the Financial Accounting Standards Board (“FASB”) released Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers: Topic 606 The new standard creates a whole new codification topic (ASC 606) and ushers in a new era of revenue recognition by replacing hundreds of pages of industry specific guidance with a single comprehensive standard applicable to virtually all industries, and will significantly change how we recognize revenue. ASU 2014-09 isn’t effective for private entities until reporting periods beginning after December 15, 2017, but will be effective for public entities a year earlier. ASC. Read More.
Second FAF Payment Sent to IFRS Foundation
As part of the convergence process between the International Accounting Standards Board (“IASB”) and Financial Accounting Standards Board (“FASB”), the Financial Accounting Foundation (“FAF”) has sent the second $1 million payments to the IFRS Foundation. The second installment occurred in June and a final payment is expected later this year. FAF trustees have not recently discussed the third payment and do not plan to anytime soon, and the subject was not mentioned during the public portion of the August 19th quarterly meeting. Due to previous complaints, the lack of discussion is surprising to some. Before being announced, Securities and Exchange. Read More.
Topics: Convergence, Financial Accounting Foundation "FAF", Financial Accounting Standards Board "FASB", IFRS Foundation, International Accounting Standards Board "IASB", Mary Jo White, National Association of State Boards of Accountancy "NASBA", U.S. Securities and Exchange Commission "SEC"
FASB Proposes Additional Guidance to Cloud Service Providers on Customer Fees
Expected to simplify accounting for a customer’s fees paid in a cloud computing arrangement, Accounting Standards Update (ASU), Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement has been issued by the Financial Accounting Standards Board (“FASB”). The proposal is in response to the lack of accounting guidance for cloud service providers regarding the fees paid by a customer. Stakeholders claim this has resulted in confusion and unnecessary cost when accounting for such fees. The proposed guidance would help customers decide whether a cloud computing arrangement contains a software. Read More.