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Accounting Research
Manager(TM)
Weekly Summary of
Developments
February 9-13, 2009
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Accounting Research
Manager subscriber,
The Accounting Research Manager
database now contains this week's weekly summary of developments. Click the
link below to access and print the fully-formatted Weekly Summary:
For detail, please contact info@zy-cpa.com
If you do not have immediate Internet access
to the Accounting Research Manager database, below is the text of this week's
Weekly Summary.
Accounting and SEC
Headlines
Asset Impairments -- Updated Statement 144 Interpretations
Published
Fair Value Measurements -- Minutes of February 5, 2009 Valuation
Resource Group Meeting
Interactive Data -- SEC Publishes Final Rule Requiring
XBRL Mutual Fund Risk/Return Summary Information
Fair Value Measurements -- AICPA Issues Draft Paper on Valuation
Considerations for Interests in Alternative Investments
International Financial
Reporting -- IASB Issues
Agenda for February 17-20, 2009 Meeting
Auditing and Internal
Controls Headlines
Health Care Organizations -- New Edition of Knowledge-Based Audits
Published
Audit Engagements -- AICPA Proposes Guidance on Initial
Engagements
Economic Crisis -- PCAOB Interpretive Guidance on Audit
Considerations in the Current Economic Environment Discussed
Government Headlines
Service Efforts and
Accomplishments -- New
GASB Guidance and Other Matters Discussed
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ACCOUNTING AND SEC HEADLINES:
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Asset Impairments --
Updated Statement 144 Interpretations Published
For detail, please contact info@zy-cpa.com
We have updated our interpretations
of FASB Statement No. 144, Accounting for the Impairment or Disposal of
Long-Lived Assets. Among the revisions we made, our interpretations have
been updated to reflect the following accounting guidance:
-EITF Issue No. 04-3, “Mining
Assets: Impairment and Business Combinations”;
-FASB Staff Position (FSP)
FAS 144-1 (As Amended), Determination of Cost Basis for Foreclosed Assets
under FASB Statement No. 15, “Accounting by Debtors and Creditors for Troubled
Debt Restructurings,” and the Measurement of Cumulative Losses Previously
Recognized under Paragraph 37 of FASB Statement No. 144, “Accounting for the
Impairment or Disposal of Long-Lived Assets";
-SEC Staff Accounting
Bulletin (SAB) Topic 5Z5, “Miscellaneous Accounting, Classification and Disclosure
of Contingencies Relating to Discontinued Operations"; and
-EITF Issue No. 03-13,
“Applying the Conditions in Paragraph 42 of FASB Statement No. 144 in
Determining Whether to Report Discontinued Operations".
See our Literature Update for
complete details.
Fair Value Measurements --
Minutes of February 5, 2009 Valuation Resource Group Meeting
For detail, please contact info@zy-cpa.com
We have added minutes of the February 5,
2009 meeting of the Valuation Resource Group (VRG). The FASB established the
VRG to provide the FASB with input on potential clarifying guidance on issues
relating to the application of FASB Statement No. 157, Fair Value
Measurements. At the February 5, 2009 meeting, the VRG discussed the
following topics:
-The SEC's congressionally
mandated study on mark-to-market accounting;
-Measuring liabilities under
Statement 157;
-Valuation considerations for
interests in alternative investments; and
-Fair value measures in
goodwill impairment assessments.
See our minutes for complete
details.
Interactive Data -- SEC
Publishes Final Rule Requiring XBRL Mutual Fund Risk/Return Summary Information
For detail, please contact info@zy-cpa.com
The SEC has published a final
rule, Interactive Data for Mutual Fund Risk/Return Summary. This rule
requires mutual funds provide the risk/return summary section of their
prospectuses to the SEC and on their websites in interactive data format using
the eXtensible Business Reporting Language (XBRL).
The XBRL information must be provided as an exhibit to registration statements
and as an exhibit to prospectuses with risk/return summary information that
varies from the registration statement. This rule also permits investment
companies to submit portfolio holdings information in our interactive data
voluntary program without being required to submit other financial information.
The requirements of this rule
must be complied with beginning on January 1, 2011.
Fair Value Measurements --
AICPA Issues Draft Paper on Valuation Considerations for Interests in
Alternative Investments
For detail, please contact info@zy-cpa.com
The AICPA has published a
Draft Issues Paper, FASB Statement No. 157 Valuation Considerations for
Interests in Alternative Investments. This document was prepared by the
Accounting Standards Executive Committee and the Alternative Investments Task
Force. It provides guidance in a question and answer (Q&A) format on the
estimation of fair value of alternative investments. Alternative investments
are defined as investments in private investment funds that meet the definition
of an "investment company" under the provisions of the AICPA Audit
and Accounting Guide, Investment Companies.This publication focuses on certain
aspects of alternative investments and is intended to assist investor entities
when implementing the provisions of FASB Statement No. 157, Fair Value
Measurements, in estimating the fair value of their interests in
alternative investments. As stated in this draft issues paper, this publication
is applicable when estimating the fair value of investments in fund-of-funds
and direct investments in funds.
International Financial
Reporting -- IASB Issues Agenda for February 17-20, 2009 Meeting
For detail, please contact info@zy-cpa.com
The IASB is scheduled to
discuss the following agenda items at its February 17-20, 2009 meeting:
-Amendments resulting from
the reclassification amendment to IAS 39, Financial Instruments: Recognition
and Measurement;
-Annual Improvements project;
-Derecognition;
-Fair value measurement;
-IAS 34, Interim Financial
Reporting;
-Insurance contracts;
-IFRS for non-publicly
accountable entities (formally small and medium-sized entities and private
entities);
-Post-employment benefits;
and
-Rate-regulated activities.
Some of the documents
listed above may not be accessible under your current subscription. For
information about upgrading your subscription to include additional content,
click here:
For detail, please contact info@zy-cpa.com
=======================================
AUDITING AND INTERNAL
CONTROLS HEADLINES:
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Health Care Organizations
-- New Edition of Knowledge-Based Audits Published
For detail, please contact info@zy-cpa.com
We have published the 2009
edition of Knowledge-Based Audits of Health Care Organizations. This
publication is designed to help the auditor efficiently and effectively perform
financial statement audits of health care organizations in accordance with
auditing standards generally accepted in the
See our Literature Update for
complete details.
Audit Engagements -- AICPA
Proposes Guidance on Initial Engagements
For detail, please contact info@zy-cpa.com
The AICPA has issued for
public comment a proposed Statement on Auditing Standards (SAS), Initial
Audit Engagements, Including Reaudits - Opening
Balances. This proposed SAS would supersede SAS No. 84, Communications Between Predecessor and Successor Auditors, and
represents a redraft to apply the Auditing Standards Board’s (ASB) clarity
drafting conventions and to converge with International Standards on Auditing.
Among other things, this proposed SAS incorporates guidance that requires an
auditor to obtain sufficient appropriate audit evidence about whether:
-Opening balances contain
misstatements that materially affect the current period's financial statements;
-Accounting policies
reflected in the opening balances have been consistently applied in the current
period’s financial statements; and
-Changes in the accounting
policies have been properly accounted for and adequately presented and
disclosed in accordance with the applicable financial reporting framework.
As proposed, this SAS would
be effective for audits of financial statements for periods beginning on or
after December 15, 2010.
Comments on this proposed SAS
are due May 29, 2009.
Economic Crisis -- PCAOB
Interpretive Guidance on Audit Considerations in the Current Economic
Environment Discussed
For detail, please contact info@zy-cpa.com
We have added a GAAS Update
Service that provides discussion and analysis of PCAOB Staff Audit Practice
Alert No. 3, Audit Considerations in the Current Economic Environment.
This Alert is intended to assist auditors of issuers in identifying matters
related to recent events in the financial markets and the current economic
environment that might affect audit risk and require additional emphasis. The
GAAS Update Service addresses considerations in the following areas:
-Overall audit
considerations;
-Auditing fair value
measurements;
-Auditing accounting
estimates;
-Auditing the adequacy of
disclosures;
-Auditor's consideration of a
company's ability to continue as a going concern; and
-Additional audit
considerations for selected financial reporting areas.
Some of the documents
listed above may not be accessible under your current subscription. For
information about upgrading your subscription to include additional content,
click here:
For detail, please contact info@zy-cpa.com
======================
GOVERNMENT HEADLINES:
======================
Service Efforts and
Accomplishments -- New GASB Guidance and Other Matters Discussed
For detail, please contact info@zy-cpa.com
We have added a Governmental
GAAP Update Service that discusses the GASB's
issuance of the following two pronouncements:
-GASB Concepts Statement
(CON) No. 5, Service Efforts and Accomplishments Reporting; and
-GASB Technical Bulletin (TB)
No. 2008-1, Determining the Annual Required Contribution Adjustment for Postemployment Benefits.
CON 5 updates provisions in
GASB Concepts Statement No. 2, Service Efforts and Accomplishments, in
order to reflect the developments that have occurred since its issuance in
1994. TB 2008-1 clarifies the requirements of GASB Statement No. 27, Accounting
for Pensions by State and Local Governmental Employers, and GASB Statement
No. 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions, for
calculating the annual required contribution adjustment.
Some of the documents
listed above may not be accessible under your current subscription. For
information about upgrading your subscription to include additional content,
click here:
For detail, please contact info@zy-cpa.com