Financial Statement Audits
New financial reporting framework draws mixed reaction
Last year, the American Institute of Certified Public Accountants (AICPA) released a new type of special purpose financial reporting framework: “Financial Reporting Framework for Small- and Medium-Sized Entities” (FRF for SMEs). The organization’s intent was to ease reporting for smaller, privately held, owner-managed companies that aren’t required to follow Generally Accepted Accounting Principles (GAAP). The […]
Accounting Alternatives for Private Companies – 2014
On January 16, the Financial Accounting Standards Board (FASB) issued Accounting Standards Updates No. 2014-02 and 2014-3. These updates proactively define a private company and set standards for accounting for goodwill and a simplified hedge accounting approach. Definition of a Private Company The FASB decided that it should proactively determine which entities would be within […]
How to take the stress out of an independent audit
When you think of your next audit by an outside CPA firm, do you fear hearing words such as “unexplained differences,” “unsatisfactory explanation,” “noncompliant” and “we’ll need more time”? If you have an audit phobia, you’re not alone: Some nonprofit leaders equate an independent audit with criticism, demands and time taken from their workweek. But […]