FASB Flash Report - August 2014 

August 2014

The FASB recently issued ASU 2014-13 to address the measurement mismatch that often results from the difference between the fair value of the financial assets and financial liabilities of a consolidated collateralized financing entity (CFE). The ASU provides an option for measuring the financial assets and financial liabilities of a CFE to eliminate that difference. If an entity does not elect the measurement alternative, it should continue applying the measurement guidance in Topic 820 to assets and liabilities that are carried at fair value in the financial statements.