BDO Assurance Practice FASB Newsletter - January 2014
During 2013 the FASB focused on finding the right balance between major, long term projects and narrower specific issues. The FASB continued to work with the International Accounting Standards Board (IASB) on three convergence projects—revenue recognition, leases and financial instruments. While the Boards are finalizing a common approach to revenue recognition in the first quarter of 2014, significant work remains for the other two projects and it appears increasingly unlikely they will find common ground on financial instruments. Overall, the FASB continues to strive for clarity, looking to reduce complexity and simplify its standards. In late 2013, the FASB endorsed the first of several proposed accounting alternatives for private entities developed by the Private Company Council (PCC), sending the message that simplification may be achievable, at least for some.