Contact Us Follow Us :      | Find Us |
CBIZ Tofias

Subscribe to Our Blog

Client Satisfaction Survey Results


Follow Us

FASB Finalizes Improvements to Recognition and Measurement of Certain Financial Instruments
Posted by Brendan Donovan on Fri, Mar 18, 2016 @ 10:00 AM

The Financial Accounting Standards Board (FASB) completed its project on the classification and measurement of financial instruments with the release of Accounting Standards Update (ASU) 2016-01, Financial Instruments- Overall (Topic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities. The project began as one of the significant convergence projects with the International Accounting Standards Board (IASB), however, differences between the two Boards has resulted in accounting standards for financial instruments that are not converged in many respects.

Read More

Topics: audit, Brendan Donovan, FASB, Financial Accounting Standards Board, Financial Instruments

Companies Should Consider Early Adoption of New FASB Standards on Liquidation Basis Accounting
Posted by Brendan Donovan on Fri, Mar 21, 2014 @ 09:31 AM

In an effort to improve financial reporting and reduce the diversity in practice, the Financial Accounting Standards Board (FASB) on April 22, 2013 issued an Accounting Standards Update ASU No. 2013-07, Presentation of Financial Statements (Topic 205): Liquidation Basis of Accounting, clarifying when and how public and private companies and not-for-profit organizations should prepare financial statements using this method.

About Liquidation

Liquidation enables a business to convert assets to cash (or other assets) to satisfy creditors before permanently suspending operations. The process requires an entity to “measure its assets at the estimated amount of cash or other consideration it expects to collect and its liabilities at the amount otherwise prescribed under U.S. GAAP,” according to FASB. Further, the board says, “an organization in liquidation must prepare its financial statements using a basis of accounting that communicates information to users of those financial statements to enable those users to develop expectations about how much the organization will have available for distribution to investors after disposing of its assets and settling its obligations.”

Read More

Topics: Brendan Donovan, FASB, Liquidation Basis Accounting, liquidation

Popular Posts