Welcome to Scribd, the world's digital library. Read, publish, and share books and documents. See more
Download
Standard view
Full view
of .
Look up keyword
Like this
1Activity
0 of .
Results for:
No results containing your search query
P. 1
The Quarter Close: Second Quarter 2013

The Quarter Close: Second Quarter 2013

Ratings: (0)|Views: 21|Likes:
Published by PwC
The quarter close gives you a snapshot of the most significant financial reporting and regulatory updates for the quarter, and provides insight into what developments are coming in the near future.This edition updates you on recent FASB, SEC and other regulatory and corporate governance topics.
The quarter close gives you a snapshot of the most significant financial reporting and regulatory updates for the quarter, and provides insight into what developments are coming in the near future.This edition updates you on recent FASB, SEC and other regulatory and corporate governance topics.

More info:

Categories:Types, Business/Law
Published by: PwC on Aug 27, 2013
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PDF, TXT or read online from Scribd
See more
See less

10/14/2013

pdf

text

original

 
 
National Professional Services Group | CFOdirect Network
 –
www.cfodirect.pwc.com The quarter close 1
What you need to know
Q2
 2013
 Welcome to the second quarter 2013 edition o
Thequarter close
. With new leadership at the SEC andFASB now solidified, the production line of new rulesand releases rolls on.The highly anticipated leases proposal has arrived, with a revenue standard in final production. And thenew SEC chairman has pledged that completing Dodd-Frank Act and JOBS Act rulemaking is at the top of herlist. What else is soon to debut? Read on for the latestdevelopments.
Front and center.
 Along with leadership changesand the revised leases proposal, the Private Company Council is again in the spotlight this quarter. Wastingno time at its May meeting, the council is movingforward with proposals that would significantly modify existing accounting guidance for private companies.
  Accounting hot topics.
 We’ve assembled a number
of hot topics including the new balance sheet offsettingdisclosures, preferred stock offerings,
gross versus net
 revenue presentation, and more.
Hot off the press.
Featured this quarter is a refreshof the widely used COSO internal controls framework 
and the AICPA’s
updated
cheap stock 
guide. Alsolook here for updates on the
FASB’s recent
releases.
 And more.
 Along with the latest regulatory andcorporate governance developments, we discuss thefeedback on the FASB's financial instrumentsproposals.
 Video perspectives.
How will the leases proposalaffect you? Our experts highlight some of the key implications. And for companies looking to access thepublic markets or planning a spin-off, our expertsdiscuss important considerations and best practices.
 Front and center 
New SEC and FASB leadership takes the wheel
 As we head into the second half of 2013, both the SEC and FASB have new chairssteering the course forward.
 Mary Jo White sworn in as SEC chairman
 After confirmation by the Senate, Mary Jo White took over as SEC chairman in April.Since then, White has been assembling her supporting team, including tapping Keith
Higgins, a partner at Ropes & Gray LLP, to head the SEC’s Division of Corporation
Finance. She also appointed Acting Director George Canellos and Andrew Ceresney,formerly a partner at Debevoise & Plimpton LLP, as co-directors of the Division of Enforcement. While it is still early in her tenure, White stated during her confirmation hearings that
further strengthening the SEC’s enforcement function and
completing the rulemakingmandated by the Dodd-Frank Act and JOBS Act are key priorities.Meanwhile, President Obama recently announced his nominations to succeed currentCommissioners Elisse Walter and Troy Paredes, whose terms end this year. The twonominees are Kara Stein, an aide to Senator Jack Reed, and Michael Piwowar, chief Republican economist for the Senate Banking Committee.
 
 
National Professional Services Group | CFOdirect Network
 –
www.cfodirect.pwc.com The quarter close 2
This is not an easy standard 
—it’s not really easy to define what a
lease precisely is. It is not clearly a service. It is not 100% financing.
 It’s
somewhere in between.
 Source: Hans Hoogervorst, IASB Chairman, Journal of Accountancy,
“ 
 IASB chair: Lease changes unpopular, but necessary,
” 
March 16, 2013
  Leslie Seidman passes the gavel to Russell Golden
The Financial Accounting Foundation (FAF), which oversees the FASB, announced in April that Russell Golden, a current FASB board member, will take over as FASBchairman effective July 1. Golden spent six years on the FASB staff before he wasappointed as a board member in September 2010. Golden has cited bringing theconvergence projects to closure and improving financial reporting for private companiesas his initial areas of focus.The FAF has not yet revealed who will fill the FASB board seat left vacant. Many arepaying close attention to this decision, as the new board member could potentially influence the vote on pending standard-setting projects, including leases.
 A divided FASB issues revised leases model
The FASB and IASB reached a major milestone this quarter by issuing their long-awaited rework of the leases proposal. But the debate is not over yet, as even the board
members aren’t in agreement on the
revised model.
 A new dividing line for leases
The proposal achieves a key objective: putting substantially all leases on
lessees’
balancesheets. However the details have created controversy. One area of contention is the
dualmodel
for determining the income statement treatment.For lessees, the proposal creates a presumption that most leases of property (forexample, real estate) will have straight-line expense recognition and most leases of non-property (for example, equipment) will have front-loaded expense recognition. However,these presumptions can be overcome in certain situations.Lessors will also apply a dual model. Using the same dividing line as lessees, lessors willeither recognize straight-line income (presumed for property) or apply a new 
receivableand residual
approach (presumed for non-property).
 Board members express alternative views
The boards have encountered some bumps in the road on the path to a revised model.Reflecting these challenges, three of the seven FASB members present alternative viewsin the proposal. Their concerns include whether the
proposal meets the project’s
coreobjectives and whether its benefits justify its costs. Board members also question whether the disclosures provide sufficiently useful information to users. Two IASBmembers also present alternative views including support for the application of a singlelease model.

You're Reading a Free Preview

Download
scribd
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->