As I mentioned during a recent session of office hours that I hosted, I believe there are a number of persistent myths in accounting that seem to get passed on from generation to generation. I promised to share them on the blog, so here they are. Read more > >
Last week, a revised version of “A Research Based Perspective on the SEC’s Proposed Rule on Roadmap for Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards (IFRS) by U.S. Issuers,” comments from the Financial Accounting Standards Committee of the American Accounting Association, appeared on SSRN. In this post, I offer [...] Read more > >
Last week, a revised version of “A Research Based Perspective on the SEC’s Proposed Rule on Roadmap for Potential Use of Financial Statements Prepared in Accordance with International Financial Reporting Standards (IFRS) by U.S. Issuers,” comments from the Financial Accounting Standards Committee of the American Accounting Association, appeared on SSRN. In this post, I offer [...] Read more > >
The issue of accounting for contingent rentals was a big part of the recent research brainstorming session on leasing. I think that academics may have something to offer the FASB and others related to accounting for contingent rentals. In particular, what can economic/finance theory tell us about the desirability of capitalizing expected contingent rentals? Read more > >
In our next session of office hours (Tue, June 16th, 4pm ET), we will have our second brainstorming session. For those of you who couldn’t make the first brainstorming session, Bob Lipe led us in a discussion of research ideas related to leasing. As in any good brainstorming session, Read more > >
One of the goals of international convergence is harmonization of accounting standards and increased comparability in financial reporting. However, even with convergence financial reporting differences will remain across countries. Some differences will stem from fairly obvious and observable sources, like countries’ various legal environments. Other sources of financial reporting differences, like cultural influences, are likely [...] Read more > >
In reading the FASB’s Discussion Paper on Revenue Recognition with Contracts with Customers, what immediately stands out is the intended breadth of the proposed model. The Discussion Paper states that the model would apply to “all contracts with customers”, with contract being very broadly defined, although still consistent with IASB and commonly used US legal [...] Read more > >
Kathy Petroni (Michigan State) will be joining us June 10th, 11am ET, to talk about her paper “Comprehensive Income: Who’s Afraid of Performance Reporting?”. The paper, co-authored with Linda Bamber, John Jiang and Isabel Wang, now forthcoming in The Accounting Review, touches on some timely and controversial topics. Read more > >
Another student guest blogger. See the comment thread for my own remark on this topic, which promises to be very interesting over the coming year. –RJB One of FASB’s current projects involves providing guidance to accounting issues such as accounting for Emissions Trading Schemes. This project is important because many environmental and ecological accounting concepts [...] Read more > >
We had a very interesting session yesterday to brainstorm ideas on leasing. Thanks to another doctoral student for summarizing key parts of the discussion. –RJB Despite the loss of power of our campus 15 minutes prior to the beginning of the office hour and the rush to set up everything on our backup battery, I, [...] Read more > >