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Donation

In: Philosophy and Psychology

Submitted By enduser23
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http://www.studymode.com/essays/Intermediate-1-Research-Paper-1272788.html

a. When did the FASC Codification become effective?
The FASC became effective for interim and annual periods ending after September 15, 2009 even though the authoritative version of the Codification was released on July 1, 2009.
b. Did the FASC change prior GAAP?
The FASC did not change prior GAAP but it instead reorganized previous GAAP into a new structure. This new structure is organized into a new research database that is supposed to be user friendly and make finding certain GAAP easier to use.
c. What does the FASB expect from the new FASC structure and system?
The FASB has high expectations from the new FASC system including reducing the amount of time and effort that is used to solve an accounting research issue. The FASC also expects the Codification to mitigate the risk of noncompliance through easier usability of accounting literature. The Codification is also expected to provide accurate information through real time updates whenever Accounting Standards Updates are released and to assist the FASC with all of the research and convergence efforts.
d. What are the “topics” used in the ASC?
There are six major topics that are used in the ASC. The first one is The General Principles Area which includes broad conceptual matters. The next one is The Presentation Area which shows information is presented in the financial statements. The Assets, Liabilities, and Equity Areas have guidance on all of the balance sheet accounts while the Revenue and Expense Areas have guidance on all of the income statement accounts. The next topic that is used in the ASC is The Broad Transactions Area which deals with some financial statement accounts and is generally transaction based. The final topic used in the ASC is The Industry Area which contains guidance on how...

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