Today’s session pertained to the Conceptual Framework Project. Ray Pfeiffer led the discussion. Ron Bossio, Senior Project Manager from the FASB and Kevin McBeth, Project Manager also from the FASB spoke to us about the progress on the conceptual framework project.

Although we covered a lot of bases (including the infamous fair value topic), I think the primary point I’m going to mention in this blog is their statements about a disclosure framework (versus a framework for just the financial statements – which is more or less what we have now). Ron emphatically stated that disclosure is not a substitute for recognition. But even with that issue pulled to the side, there is still the issue of how to think about disclosure. Specifically, should a standard setting body like the FASB (or IASB) develop a framework for disclosures, including footnotes and other items found in the 10-K, like the MD&A? Should the FASB think about disclosures that another agency now deals with (e.g., SEC mandated disclosures)? What is the way to think about this framework? What is the framework? Ron strongly recommended that researchers think about related to a broader framework – that including disclosures. I think he’s right. He caused me to think bigger!