John Wilson Dickhaut, Jr., 1942-2010

Greg Waymire wrote this obituary for John Dickhaut, which will be forthcoming in Accounting Education News. Please feel free to share your thoughts or reminiscences in the comments. –RJB John Dickhaut passed away April 10, 2010 at his California home following a long and courageous battle with cancer. John was a widely respected member of [...] Read more > >

Need good fair value cases

We had a financial reporting course coordination meeting today here at UT Austin. We have a concepts course followed by intermediate in all one semester course. We were lamenting on the lack of fair value class / case materials. I have 2 cases that Katherine Schipper wrote for a FASB conference. But that’s about it. [...] Read more > >

Did you see this one?

BANKERS GET OFF EASY… Read more > >

When the going gets tough, the tough take accounting.

I couldn’t resist. The title comes from the first line of today’s David Brook’s column in the New York Times. Read more > >

Discontinued operations anyone

I was busy trying to update my class for the fall here. It seems discontinued operations turn a turn backwards, is that right? Anybody else following this one? Last year, they were trying to make the “thing” (to get technical) that qualifies for discontinued operations treatment be larger than in the past (be a SFAS [...] Read more > >

This Just In from Air Traffic Control

**See bottom of post for a June 25 update.** After suffering through a 5-hour delay in Newark on Friday, it appears that I was not the only one about to be subjected to delay. Many of you have probably been wondering how the FASB and IASB were going to accomplish the monumental task of finishing [...] Read more > >

Press Coverage on Fair Value Proposal

Reactions to the recent Accounting Standards Update on financial instruments are rolling in.  Start with this one from Bloomberg/Businessweek: Banks including Bank of America Corp., based in Charlotte, North Carolina, and San Francisco-based Wells Fargo & Co. already report the fair value of their loans in the footnotes of their quarterly reports to regulators. Bank [...] Read more > >

FASB Issues Exposure Draft on Accounting for Financial Instruments

The FASB has just issued a long-awaited, and much-debated, Exposure Draft of a Proposed Accounting Standards Update (ASU) that would dramatically change the accounting for financial instruments. As noted in a press release (full text available here): Among other changes, the proposed ASU would seek to bring more transparency into financial statements by incorporating both [...] Read more > >

Round Table Hiatus

You probably noticed we haven’t had a round table for a little while. We will continue with this hiatus for at least a few more weeks, as I am traveling throughout much of June, and Jeffrey is making the transition back from Norwalk to civilian life. We’ll start up later in the summer, and plan [...] Read more > >

Do difficult-to-account for transactions deserve greater regulatory scrutiny?

Certain transactions are inherently difficult to account for. Investments in illiquid financial instruments may be impossible to value without heavy reliance on unverifiable assumptions from management. Transactions that include explicit or implicit rights of return must be recorded as sales or as a bundle of options, neither of which is quite accurate. Transactions with customers [...] Read more > >