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FASB Updates Leases Standard for Variable Lease Payments
The Financial Accounting Standards Board released an accounting standards update to help lessors account for leases with variable lease payments. The accounting standards update amends the lease classification requirements for lessors so they aren’t required to recognize a loss upfront at the start of a sales-type lease if they eventually expect to make a profit. The leases standard puts leases on the balance sheet for the ...
Read MoreWhat Private Companies Get Wrong About Internal Controls
Why should private companies care about internal controls? These are the relevant controls each company should have in place to reasonably ensure their financial data is complete and accurate. The thoughtful development of a formalized internal control framework designed to address the processes deemed to be most vulnerable to misstatement or fraud can help with effective management of risk associated with it. Investors are increasingly ...
Read MoreHow Companies Can Drum Up Enthusiasm for a Return to the Office and Vaccines
Companies should pick a concise strategy surrounding vaccines, allow employees to voice opinions on returning to the office, and be transparent about how decisions are made. As companies design plans to bring workers back into the office, chief human resources officers are contending with a plethora of issues. Do they mandate vaccines or simply urge employees to get them? How should hybrid schedules be decided and does innovation suffer when ...
Read MoreNew Lease Accounting Standards Come with Plenty of Gotchas
The recent leasing rules from the Financial Accounting Standards Board and the Governmental Accounting Standards Board are turning out to be harder to follow than many organizations expected. Not only do the new leases standards, FASB’s ASC 842 and GASB’s Statement No. 87, require entities to put operating leases on the balance sheet for the first time ever, but they come with extra complexities. Entities will need to evaluate all ...
Read More5 Trends to Watch During the Pandemic Recovery
The economic recovery from the COVID-19 pandemic will be different from the recoveries that followed past recessions, Marci Rossell told AICPA governing Council members. Economic downturns typically originate in a sector such as housing, finance, or manufacturing and ripple through the economy from there, said Rossell, an economic forecaster and former chief economist at CNBC.
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