Peeling away financial reporting issues one layer at a time

Tag archive for financial reporting

Why the FASB Won’t Define “Financial Accounting”*

The FASB has been prolific by any measure. The codification of authoritative GAAP alone is almost 8,000 pages for goodness sake. Believe it or not, that’s about twice as wordy as the [Read More...]

How GAAP and IFRS Succeed in Overstating Bank Capital without Really Trying

As I stated in my post on ASU 2015-03, the accounting for debt issue costs is relatively small potatoes. The point was to illustrate that the FASB’s so-called “simplification initiative” was driven [Read More...]

On Golden’s Con, Part III: Fixing the Disclosure Mess

…Eye of newt, and toe of frog, Wool of bat, and tongue of dog, Adder’s fork, and blind-worm’s sting, Lizard’s leg, and owlet’s wing …

If you have read my blog every now and then, it [Read More...]

On Golden’s Con: Selling False Hope for Fundamental Changes to Financial Reporting

“FASB is preparing to consider foundational changes that could significantly alter financial reporting in the future as well as standards improvements that will reduce complexity, board Chairman Russell Golden said … in a speech at [Read More...]

Accounting Complexity: What if “Truth in Labeling” were an Accounting Principle?

“I do not deny that what happened to us is a thing worth laughing at. But it is not worth telling, for not everyone is sufficiently intelligent to be able to see things from [Read More...]

“Reducing Complexity” — The Latest Red Herring from the FASB

I don’t have exact figures, but I’m fairly certain that the AICPA’s annual Washington, DC conference on SEC-related developments may be the place where you can find the highest number of accountants crammed [Read More...]

My Safest Prediction for 2014: New Revenue Recognition Rules that Nobody Wants

We have thankfully come to the end of a year in which the gratuitous and repeated attempts by the FASB to converge U.S. GAAP with IFRS have finally devolved from “inevitable” to ignominy. [Read More...]

It’s Time to Change the Wacky Accounting for Stock Issuance Costs (Revised)

Note:  Some very helpful comments on my most recent post have led me to conclude that I made some factual and logical errors.  Fortunately, though, my main message, that stock issuance costs should be recorded [Read More...]

The CFA Institute Survey on Loan Accounting Needed to Go Deeper

(See a correction at the end of this post.)

The CFA Institute has recently published a report that summarizes the findings of its member survey on the FASB and IASB’s proposals for recognition and [Read More...]

The EBITDA Epidemic Takes Its Cue from Standard Setters

On October 4th, Jon Weil published “An Accounting Lesson for Twitter.”  Here’s how it starts:

Whether he prevails at his insider-trading trial or winds up paying a fine to the Securities and Exchange Commission, [Read More...]