FASB and CAQ Issue Forum Observations Summary
On December 12, 2012, the Financial Accounting Standards Board (FASB), in conjunction with the Center for Audit Quality (CAQ), issued a summary of observations from two forums on disclosure effectiveness. The forums were held at Columbia University's Center for Excellence in Accounting and Security Analysis in New York City on October 4, and at the Stanford University Graduate School of Business in Stanford, California, on October 8, 2012.
- Flexibility of disclosure requirements
- Role of the notes
- Disclosure relevance to investors and creditors
- Effect on the assessment of future cash flows to the investor
- Streamlined disclosure in the current environment
- Prescriptive nature of current accounting guidance
- Overlap of notes and Management's Discussion and Analysis (MD&A)
- Costs, benefits, and incentives for change
More information, including the summary of the forums and the FASB's Invitation to Comment on the disclosure framework project, is available at www.fasb.org .
SOURCE: December 12, 2012, Financial Accounting Standards Board Press Release