FASB assessment on differential standard-setting framework for private companies
18 Jul 2011
The US Financial Accounting Standards Board (FASB) has published FASB in Focus — Private Companies: The Path to a Differential Standard-Setting Framework.
- Types of users
- Access to management
- Investment strategies
- Ownership structures
- Accounting resources
- Education
This assessment is the first step FASB is taking in developing a 'differential framework' when deciding how to adjust the requirements for recognition, measurement, presentation, disclosure, effective dates and transition methods for financial accounting standards that apply to private companies. In January 2011, the 'differential framework' was a key recommendation suggested by the Blue-Ribbon Panel on Standard Setting for Private Companies in a report to the Board of Trustees of the Financial Accounting Foundation (FAF). In addition, the panel called for a creation of a new board, overseen by the FAF, to focus on U.S. GAAP for private companies.
Click for:
- FASB in Focus — Private Companies: The Path to a Differential Standard-Setting Framework (link to FASB website)