An Update: Counting The Way The FASB Codification Has Improved My Life
Back in March, during an instance of extreme frustration, I penned (so to speak) one of my more favorite blog entries called Counting The Way The FASB Codification Has Improved My Life. I'm reminded of it often these last couple of weeks, as I continue to be very frustrated with it.
Example 1: Last week I was looking at the prior year statement of cash flows on a new client and saw something classified in the financing activities section that just didn't make sense to me. In the old days before the codification, I knew exactly where in FASB 95 to find the description of what qualifies as a financing activity. Took me over 15 minutes to find it in the codification.
Example 2: Today I am reviewing the financial statement draft for the same new client and I see a disclosure on a pending accounting pronouncement. Off the top of my head, I frankly don't know the effective date of the pronouncement for private companies. Same song, different day, except it took me 20 minutes in the codification to find it.
I don't hide how old I am (see my LinkedIn profile and you can figure it out from my college graduation or see my wall in Facebook). Am I getting too old to adapt to these things? Seriously, I was very comfortable with the old system. Am I a stick in the mud?
In other words, I still don't see how the FASB Codification has improved my life.
Joel M. Ungar, CPA is a lifelong resident of the Detroit area and a graduate of The University of Michigan. He is a principal with Silberstein Ungar, PLLC, a Top 15 auditor of SEC public reporting companies. Joel writes observations on different matters and especially on working with and using LinkedIn. He thinks he has a sense of humor.