Heads Up

This issue discusses the FASB’s recently issued Accounting Standards Update (ASU) No. 2009-14, Certain Revenue Arrangements That Include Software Elements — A Consensus of the FASB Emerging Issues Task Force. The ASU amends ASC 985-605 to exclude from its scope certain tangible products containing software that functions together with nonsoftware deliverables to deliver the tangible product’s essential functionality.

This issue discusses key implementation issues associated with the adoption of FASB Statement No. 167, Amendments to FASB Interpretation No. 46(R). When Statement 167 was first issued, many hoped that its qualitative approach to determining which party consolidates a variable interest entity would lessen the analysis necessary for determining whether an entity should be consolidated. However, with Statement 167’s effective date now fast approaching, it is clear that analysis is no easy task.

This issue discusses the FASB’s proposed Accounting Standards Update (ASU), Scope Exception Related to Embedded Credit Derivatives, which has been re-exposed for a 30-day comment period. The ASU would affect "all entities that enter into contracts containing an embedded credit derivative feature related to the transfer of credit risk that is not only in the form of subordination of one financial instrument to another."

This issue discusses the FASB’s recently issued Accounting Standards Update (ASU) No. 2009-12, Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent). The ASU offers investors a practical expedient for measuring the fair value of investments in certain entities that calculate net asset value per share. It is effective for the first reporting period (including interim periods) ending after December 15, 2009; however, early adoption is permitted.

This issue discusses the EITF’s recently finalized Issue 08-1, which will significantly change the accounting for revenue recognition for arrangements with multiple deliverables. Issue 08-1 will enable entities to separately account for individual deliverables for many more revenue arrangements. By removing the criterion that entities must use objective and reliable evidence of fair value in separately accounting for deliverables, the EITF expects the recognition of revenue to more closely align with the economics of certain revenue arrangements.

This issue discusses the September 22, 2009, meeting of the FASB’s Valuation Resource Group. Topics include the IASB’s May 2009 exposure draft on fair value measurement, the measurement of core deposits, the fair value of debt versus par value in the estimation of the fair value of an entity’s equity, and the FASB’s proposed Accounting Standards Update on improving disclosures about fair value measurement.

This issue discusses the FASB’s recently issued exposure draft (ED) of a proposed Accounting Standards Update, Oil and Gas Reserve Estimation and Disclosures. The purpose of the ED is to align the current reserve estimation and disclosure requirements of Accounting Standards Codification Topic 932, Extractive Industries — Oil and Gas, with the requirements in the SEC’s final rule, Modernization of the Oil and Gas Reporting Requirements, which was issued in December 2008.

This issue discusses the FASB’s recently issued ASU 2009-06 (formerly proposed as FSP FIN 48-d), which signals the end of the FASB’s deferral, for certain nonpublic entities, of the accounting for tax positions under the pre-Codification guidance in Interpretation 48.

This issue discusses the FASB’s recently issued exposure draft (ED) of a proposed Accounting Standards Update, Improving Disclosures About Fair Value Measurements. The ED proposes to update the disclosure requirements of ASC 820 (formerly Statement 157), to add new disclosures about fair value measurements, and to clarify existing disclosures.

This issue discusses the FASB's recently issued Accounting Standards Update (ASU) 2009-05, Measuring Liabilities at Fair Value. ASU 2009-05 is effective for the first reporting period (including interim periods) beginning after issuance.

This issue discusses the FASB’s Accounting for Financial Instruments project. On August 13, 2009, the FASB met to continue its discussions regarding the presentation of financial instruments in financial statements. The FASB expects to issue an exposure draft on the classification, measurement, impairment, and presentation of financial instruments and hedge accounting by the end of 2009 or early 2010.

This issue discusses the IASB’s recently issued exposure draft, Rate-Regulated Activities, which would establish how assets and liabilities resulting from rate-regulated activities should be recognized and measured.

This issue discusses the FASB and IASB joint project on the classification and measurement of financial assets and financial liabilities.

This issue discusses the exposure draft of the FASB’s proposed statement, Disclosures about the Credit Quality of Financing Receivables and the Allowance for Credit Losses. The draft was produced in response to concerns from financial statement users that the current disclosure framework for financing receivables and the allowance for credit losses is inadequate and lacks sufficient transparency.

This issue discusses the IASB’s recently issued exposure draft, Fair Value Measurement. The guidance is intended to be equivalent to that in FASB Statement No. 157, Fair Value Measurements, under U.S. GAAP. It defines fair value and explains how to determine it, but does not introduce any new or revised requirements regarding which items should be measured or disclosed at fair value.

This issue examines the recently issued FASB Statement No. 167, Amendments to FASB Interpretation No. 46(R), which amends the consolidation guidance applicable to variable-interest entities. The amendments will significantly affect the overall consolidation analysis under Interpretation 46(R).

This issue discusses the recently released FASB Statement No. 166, Accounting for Transfers of Financial Assets, which amends the derecognition guidance in Statement 140 and eliminates the exemption from consolidation for qualifying special-purpose entities (QSPEs). As a result, a transferor will need to evaluate all existing QSPEs to determine whether they must now be consolidated in accordance with Statement 167.

This issue discusses the recently issued FASB Statement No. 165, Subsequent Events, which provides guidance on management’s assessment of subsequent events.

This issue discusses the recently issued FASB Statement No. 164, Not-for-Profit Entities: Mergers and Acquisitions. The new statement significantly changes the accounting for (1) combinations involving two or more not-for-profit entities and (2) combinations in which a not-for-profit entity acquires a for-profit business or a nonprofit activity.

This issue discusses the FASB Accounting Standards Codification and provides a list of frequently asked questions.