The Financial Accounting Standards Board (FASB) is the private institution responsible for promulgating accounting standards generally accepted in the USA (GAAP). In short, the FASB sets the standards that we all must follow when presenting GAAP-basis financial statements.
The FASB has been a very busy organization of late. Significant changes to GAAP standards affecting revenue recognition, credit losses, non-profit presentation, and leases are set to have tremendous effects on companies of all shapes and sizes in the next two-to-three years and thereafter. Each of these major (along with many other minor) standards changes must be carefully reviewed and understood prior to implementation. The FASB is now trying to do its part in helping reporting entities in their migration efforts. This link, provided on the FASB’s own website, provides a wealth of implementation resources intended to help any entity affected by recent changes.
As always, if you need any help interpreting these complex and important changes, feel free to reach out to us at Cerini & Associates. We’re here to help.