Financial Statements for Financial Institutions Just Got Longer

At the same time when the FASB is trying to address the issue of disclosure overload, a failed attempt to converge standards has resulted in the FASB and IASB issuing new requirements for increased disclosures related to net positions on various contracts.  US GAAP allows companies to present derivatives on a net basis when they [...] Read more > >

FAF Recommends Condorsement to SEC

comment letter to the Securities and Exchange Commission recommending that the SEC adopt a condorsement approach to incorporate IFRS into the US financial reporting system. The approach recommended by the FAF is somewhat different than the model of condorsement previously described by the SEC, but is similar in that the FASB would consult with the [...] Read more > >

FAF Proposes a New Private Company Council

Plan to Establish the Private Company Standards Improvement Council. The plan “calls for the establishment of a new council with the authority to identify, propose and vote on specific improvements to US accounting standards for private companies.” As stated in this press release, the council, if established, would “identify, propose, deliberate and formally vote on [...] Read more > >

Financial Asset Impairment

Roundtable discussion reminded me of a post by Cathy Shakespeare on good vs bad book.  Just this week, some groups in my Theory class were assigned to analyze the FASB and IASB “Supplemental Document” that she cites.  One group is to explain the proposal.  The other group is to highlight the comment letters.  I will [...] Read more > >

Leslie Seidman: In the "Cautionary Camp" on Fair Value

A few weeks ago FASB Board member Leslie Seidman joined us for office hours.  We covered a lot of ground, and Ray has already written on some of her ideas for research.  I thought I would summarize her rather cautionary views on fair value accounting for financial instruments.  Playing to the academic audience, Ms. Seidman [...] Read more > >