Peeling away financial reporting issues one layer at a time

Category for IFRS/Convergence

Re-introducing Principles to Financial Accounting

A long time ago —  in 2004, to be exact — the FASB and IASB announced that they would jointly develop a common “conceptual framework.” They divided the work into eight phases.  It took them [Read More...]

FASB Decrees that 2 + 2 < 4

On the one hand, I am happy to report that we are approaching the end of the darkest era in the history of U.S. accounting standards, during which the Accounting Establishment did their best [Read More...]

From Where I Sit, Where Investors Should Stand on the New Lease Accounting

It’s hard to pick which of the major accounting standards convergence projects has given investors the shortest shrift.  But leases is notable for one thing: the FASB’s handpicked Investor Advisory Committee (IAC) panned the [Read More...]

Camfferman and Zeff on the IASB

This is my third post for today.

About 20 years ago (it’s been that long already!), I had a fairly regular gig traveling to Europe and Dubai to make presentations about SEC disclosure requirements that [Read More...]

The Earnings Management is Hidden in the Details

With inspiration and encouragement from the John Hughes IFRS Blog, this post is a partial recycling from 2010 of Merrily We Roll Along — Forward and Up.   I had observed way back [Read More...]

Hoogervorst Hokum Re Historic Cost

After years of trying to work with the FASB on a revised conceptual framework, the IASB finally decided to abandon the goal of a fully converged framework and to finish a document for its [Read More...]

Instead of Converging Two Sacks of Mush, Let’s Reimagine What Accounting Could Be

Here is a summary of Chief Accountant James Schnurr’s recent remarks regarding IFRS:

Despite having been a national office partner at Deloitte, and being closely involved with the firm’s promotion of IFRS, he still needed [Read More...]

The Grim Political Realities of the Impending Revenue Recognition Standard

On April 29th, the FASB issued proposed ASU 2015-240, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date. It is widely expected that the Board will adopt a one year delay in [Read More...]

Sweet Next-to-Nothings from the SEC’s Chief Accountant

I’m not going to beat around the bush here.  James Schnurr’s first major speech as the SEC’s Chief Accountant amounted to 3,000 words of next-to-nothing.  He achieved this prodigious rhetorical feat with a medley [Read More...]

Revenue Recognition: A Litmus Test for Convergence with IFRS

Do you remember the Big Four mantra that IFRS adoption in the U.S. was “inevitable”?  Today, thankfully, the operative word is “dead.”  Even former SEC chair, Christopher Cox, whose brainchild was the IFRS adoption [Read More...]