September Audit & Assurance Newsletter


New FASB standard aims to simplify hedge accounting
The Financial Accounting Standards Board recently issued a new standard that is designed to make hedge accounting easier for financial statement preparers and easier for financial statement users to understand.

According to FASB Chairman Russell Golden, Accounting Standards Update No. 2017-12Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities, was created to:

  • Better align accounting rules with a company’s risk management activities.
  • Better reflect the economic results of hedging in the financial statements.
  • Simplify hedge accounting treatment.

read more    – Journal of Accountancy

Seven industries included in new revenue recognition guide exposure
Revenue recognition issues related to seven industries were recently exposed for public comment by the American Institute of Certified Public Accountants Financial Reporting Executive Committee (FinREC) as FinREC continues to develop its new revenue recognition guide. read more              – Journal of Accountancy

Private company accounting following a new path
The relief for private companies in the hedge accounting standard the Financial Accounting Standards Board recently issued was largely hidden from view, but it still was significant. read more    – Journal of Accountancy

Proposal would pave the way for a new attestation service
A proposal recently issued by the American Institute of Certified Public Accountants Accounting and Review Services Committee would result in flexibility provided to practitioners in performing and reporting on a procedures and findings service. read more    – Accounting Today

Rulemaking gives auditors a chance to provide more insight
As an increasing number of routine tasks are being automated, CPAs have been seeking opportunities to provide more insight to businesses, clients, investors, and others who use their services. read more    – Journal of Accountancy

ASB issues standard for auditors involved with exempt offering documents
A new auditing standard recently issued by the American Institute of Certified Public Accountants Auditing Standards Board establishes when an auditor is involved with an exempt offering document—and describes the procedures an auditor is required to follow when involved with such a document. read more    – Journal of Accountancy

Getting ready for assurance has its benefits
In recent months, sweeping global cyberattacks have taken thousands of businesses offline, compromising valuable data and blocking access to critical services and information assets. If it was not clear before, it is now: cybersecurity is a business imperative with direct implications for overall company value. Prior to this spring, and without a common language or benchmark for cybersecurity, how do you quantify and communicate your cybersecurity risk in a meaningful way? read more    – AICPA Insights

For more information, please contact our audit professionals at aaalerts@windes.com or toll free at 844.4WINDES (844.494.6337).