FASB Focuses on Nonpublic Companies
By Anne Rosivach
- Variable Interest Entities (in ASC Topic 810, Consolidation; formerly FIN 46(R) and FAS 167).
- Accounting for "plain vanilla" interest rate swaps (in ASC Topic 815, Derivatives and Hedging; formerly FAS 133).
- Uncertain Tax Positions (in ASC Topic 740, Income Taxes; formerly FIN 48).
- Recognizing and measuring various intangible assets (other than goodwill) acquired in business combinations (in ASC Topic 805, Business Combinations and ASC Topic 350, Intangibles-Goodwill and Other; formerly FAS 141(R) and FAS 142).
The PCC decided to continue the discussion of the definition of a nonpublic entity. Currently, there are multiple definitions in the codification. The Council also will review the proposed decision-making framework. The next meeting of the new Council will be February 12, 2013.
- Definition of a nonpublic entity.
- Proposed liquidity risk disclosures.
- Disclosure framework project.
Committee members in general felt that nonprofits should be distinguished from private companies because they are publicly accountable, but a bright line between public and private not-for-profits (NFPs) based on a public accountability notion is unlikely to be helpful, Ron Bossio, FASB Senior Project Manager reported. There should be greater transparency in financial statement presentation by nonprofits.
- ASU 2011-09, Disclosures about an Employer's Participation in a Multiemployer Plan (ASC 715-80). Annual periods ending after December 15, 2012.
- ASU 2011-08, Testing Goodwill for Impairment (ASC 350). Impairment tests for fiscal years beginning after December 15, 2011.
- ASU 2011-07, Presentation and Disclosure of Patient Service Revenue, Provision for Bad Debts, and the Allowance for Doubtful Accounts for Certain Health Care Entities. Annual periods ending after December 15, 2012 (and interim periods within those annual periods).
- ASU 2011-05, Presentation of Comprehensive Income (ASC 220). Fiscal years ending after December 15, 2012, except reclassification presentation requirement, which is deferred.
- ASU 2011-04, Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs (ASC 820). Annual periods beginning after December 15, 2011.
- ASU 2011-03, Reconsideration of Effective Control for Repurchase Agreements (ASC 860). Interim or annual periods beginning on or after December 15, 2011.
- ASU 2011-02, A Creditor's Determination of Whether a Restructuring Is a Troubled Debt Restructuring (ASC 310). Annual periods ending after December 15, 2012 (and interim periods within those annual periods).
Speakers presented brief overviews of the disclosure framework, leases, accounting for financial instruments, liquidity risk and interest rate disclosures, and going concern projects. Most of these projects have been the subjects of individual webcasts.
- The total magnitude and materiality of payments.
- Related accounting guidance.
- Any diversity in accounting practice.
- Other factors important in evaluating the need for a project.
Access slides  from the December webcast.
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