NSAC Happenings and Latest News - Page 121
FASB Streamlines Move to Equity Method of Accounting
The Financial Accounting Standards Board has issued an accounting standards update making it easier for companies to transition to the equity method of accounting. Stakeholders told FASB that the requirement to retroactively adopt the equity method of accounting is costly and time consuming when an investment qualifies for use of the equity method as a result of an increase in the level of ownership interest or degree of ...
Read MoreHow Cooperatives Measure Earnings Affects Patronage Refunds
Patronage refunds are one of the main differentiating factors between a cooperative business and a regular corporation or other business entity. One of the major parts of the statutory definition of a patronage refund is that it is determined by the net earnings of the cooperative. The statutory definition, does not, however, state whether those net earnings are determined by federal income tax or financial accounting rules. Based on ...
Read MoreFASB Releases Lease Accounting Standard
The Financial Accounting Standards Board issued its long-awaited Lease Accounting Standard, one of the major convergence projects on which it has collaborated for a decade with the International Accounting Standards Board. The accounting standards update aims to improve financial reporting about leasing transactions and will affect all companies and other organizations that lease assets such as real estate, airplanes, and manufacturing ...
Read MoreAccount Reconciliation
Best Practices: Account Reconciliation Account reconciliation is an underappreciated yet critical control to help ensure an organization's financial integrity. Weaknesses and inefficiencies in the reconciliation process often lead to mistakes on the balance sheet and overall inaccuracies in the financial close. Since the enactment of Sarbanes Oxley (SOX) in 2002 and other rules and regulations that have followed, ensuring the accuracy of ...
Read MoreThe Expanding View of Expense Management
With its origins in paper trails and manual processes, travel and entertainment expense reporting historically has been more of a black box for accounting professionals than a source of financial insight. But by changing the expense management process, companies today are able to gain valuable insight into spend management trends and leverage their data in ways they didn’t necessarily anticipate. The benefits of which can reach ...
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