Who is complaining about POC accounting?

One of the frequent criticisms the revenue recognition project has received in the past few years is that the proposed new standard would change revenue recognition in areas that do not seem to pose any problems today. One example of that is the construction industry, where the proposed new standard has the potential to change [...] Read more > >

More questions from my PhD seminar

I know all my recent posts seem to be arising from my PhD seminar.  But hey, putting together materials for an introductory seminar makes one think about some basic research issues. One paper I assign is the Watts and Zimmerman excuses paper.  In case you are unfamiliar with the paper, I view it as presenting [...] Read more > >

Normative again

I am coming to the party late on this one.  Back in October 2009, Rob initiated several posts related to the Kothari, Ramanna and Skinner paper that he saw presented at last year’s JAE conference.  I read the paper with a more critical eye recently in preparing for an introductory PhD seminar.  While it did [...] Read more > >

Can a Good Audit Be a Systemic Threat?

Isn’t disclosure always a good thing?  Isn’t it always better to have audited financial statements than not (ignoring the cost of the audit itself)? Wouldn’t it be particularly important to audit a large bank?  How about one that holds our entire financial system in its hands…such as the Federal Reserve Bank? I was very surprised [...] Read more > >

An interesting take on accountants

This is worth a read: On accountants: The accountants utterly failed us. And by the way, there’s practically no sign of any intelligent reversal of the failure of that profession. I have yet to meet many accountants who are the least bit ashamed for their contribution to our recent troubles. But it was immense. Imagine [...] Read more > >

Roundtable on FASB-IASB Leases Project (4pm ET, 10/6/2010)

At 4pm Eastern time on Wednesday, 10/6/2010, we will have our second roundtable for this academic year. Please join us! See the new FASRI Roundtables WebPage describing how to use VenueGen, our new platform from which you can join the Roundtable discussion. Danielle Zeyher, FASB Project Manager, will join us to discuss the IASB-FASB Leases Project. This [...] Read more > >

Audio Archive from Financial Statement Presentation Roundtable

You can listen to the conversation with FASB’s Nick Capiello here. Read more > >

Continued discussion related to the Financial Statement Presentation Roundtable

One important topic of yesterday’s very interesting roundtable with Nick Cappiello is the staff draft proposal to include an “operating-finance” section in the balance sheet. The staff apparently views some transactions to have characteristics of both operations and financing of those operations. Ideally, I guess most users would like a clear distinction between operating items and items [...] Read more > >

Next Roundtable: Leasing

Our next FASRI roundtable is with Danielle Zeyher, manager of the FASB-IASB leases project.  Please mark your calendars for 4pm Eastern time on Wednesday October 6th.  More information will follow as we approach the time of the session. Read more > >

Contact information for Roundtable on Financial Statement Presentation

In case you missed the first roundtable of the semester, we will have a recording available soon.  Meanwhile, you can access the slides for the session HERE.  And, Nick Cappiello, the presenter, has graciously provied his contact information at ntcappiello@fasb.org in case anyone has questions about the slides, the topic, or the presentation and discussion. Thank [...] Read more > >

Roundtable today! 4pm ET at VenueGen.com/?q=inv/sreginvitations

Slides for today’s session: Click HERE Go directly to the meeting HERE At 4pm Eastern time today, we will have our first roundtable for this academic year. Please join us! See the new FASRI Roundtables WebPage describing how to use VenueGen, our new platform from which you can join the Roundtable discussion. Nick Cappiello, an [...] Read more > >

FAF Appoints Russ Golden to the FASB

The Financial Accounting Foundation took the first step today toward filling the three vacant seats on the Financial Accounting Standards Board that opened up with the retiring of Bob Herz and the FAF’s decision to move from 5 to 7 members. In this press release, the FAF announced that the FASB’s technical director, Russell Golden, [...] Read more > >

My opinion is that this is crazy

Okay, so i was talking to a colleague a few months ago — a prominent academic tax person — and we were talking pensions and deferred taxes. We got it sorted out (he helped me greatly) but then he said something about my making up a fake income tax expense. HUH? Fake, I ask? No [...] Read more > >

Roundtable on Financial Statement Presentation (4pm ET, 9/21/2010)

At 4pm Eastern time on Tuesday, 9/21/2010, we will have our first roundtable for this academic year. Please join us! See the new FASRI Roundtables WebPage describing how to use VenuGen, our new platform from which you can join the Roundtable discussion. Nick Cappiello, an FASB Project Manager, will join us to discuss the IASB-FASB [...] Read more > >

Fabulous teaching example

Several years ago, I stumbled upon a company that does the direct SCF. Excellent example particularly b/c years ago, the company was in desperate shape, close to bankruptcy. They turned themselves around, and you can “see” the strategy shift in their SCF. One, you see the huge cash infusion by lenders… then two, you see [...] Read more > >

Why is that year-end moving around.

A student asked me a question the other day.. never thought about it .. as we were talking about Cisco’s flush statement of cash flows. Their year-end has been: July 25, 2009 July 26, 2008 July 28, 2007 These are Saturday’s. Why are they doing this? Anybody know? Read more > >

Good stuff for your students

I got this fasb email today (see below). Just listened to it, it’s perfect perfect stuff for your classes – intermediate probably, when you cover the statement of cash flows. Very understandable, very short (20 minutes). Wow, really nice. Heads up for you. Lisa The Financial Accounting Standards Board (FASB) and the International Accounting Standards [...] Read more > >

Tidbits from the Frank-Dodd Act

I’ve finally taken the chance to read sections of the Frank-Dodd Act, rather than journalist’s reports and opinions about the Frank-Dodd Act. (Incidentally, if the Sarbanes-Oxley Act was referred to as SOX, what will the Frank-Dodd act be referred to as? FD, FDA, or perhaps Frodd?) I’ve found a number of interesting tidbits that I [...] Read more > >

Convergence Confusion

So the new ideas on discontinued operations being close to re-exposure by the FASB… with the goal of convergence. I’m reading the minutes on the website. The trend is toward “bigger” for discontinued operations which seems less than useful to most decision makers, I would think. Clearly small things to be discontinued should not be [...] Read more > >

Got a Short Experiment You Want To Run?

I just received an email about TESS:  Time-sharing Experiments for the Social Sciences.  Anyone who is running short experiments should take a look.  They offer access to the general US population (not just students); I am not sure whether it is possible to get access to managers or investors, but hopefully someone will take a [...] Read more > >