Melisa Galasso talks about two big proposals just released from the Financial Accounting Standards Board.

The first proposal relates to the movement away from LIBOR. As LIBOR has come under scrutiny, there has been a movement to replace LIBOR as a reference rate. However, changing the reference rate can cause significant issues for hedging and other relationships. As a result, FASB is proposing a gentler approach to reference rate reform that will help those impacted by LIBOR’s replacement.

The second proposal addresses the longstanding drama related to balance sheet classification of debt. While it sounds like an easy area, the movement to a principles-based approach has identified some impacts that may be unexpected. As such, FASB is re-proposing the standard to gather feedback.

Both standards will impact many entities, so Galasso Learning Solutions wanted to take on the issues in a timely manner!

FASB Exposure Draft – Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting

Issued: Sept. 5; Comments Due: Oct. 7

Interested parties may submit comments in one of three ways:

  • Using the electronic feedback form available on the FASB website at Exposure Documents Open for Comment
  • Emailing comments to director@fasb.org, File Reference No. 2019-770
  • Sending a letter to “Technical Director, File Reference No. 2019-770, FASB, 401 Merritt 7, PO Box 5116, Norwalk, CT 06856-5116.”

FASB Exposure Draft – Debt (Topic 470): Simplifying the Classification of Debt in a Classified Balance Sheet (Current versus Noncurrent)

Issued: Sept. 12; Comments Due: Oct. 28

Interested parties may submit comments in one of three ways:

  • Using the electronic feedback form available on the FASB website at Exposure Documents Open for Comment
  • Emailing comments to director@fasb.org, File Reference No. 2019-780
  • Sending a letter to “Technical Director, File Reference No. 2019-780, FASB, 401 Merritt 7, PO Box 5116, Norwalk, CT 06856-5116.”

What questions do you have? Send your questions to melisa@galassolearningsolutions.com.

Upcoming Broadcast Note: Join Melisa Galasso at 9 1.m. on Tuesday, Dec. 10, for a one-hour credit A&A Rebroadcast Course on “The New AICPA Auditor’s Report,” a must-see for auditors. During SCACPA’s broadcast, Melisa will monitor a live Q&A chatroom.

SCACPA is excited to partner with Galasso Learning Solutions and the Genuine Learning Blog for real-time A&A updates and answers for SCACPA members. With over 15 years of experience in the accounting profession, Melisa Galasso designs and facilitates courses in advanced technical accounting and auditing topics, including not-for-profit and governmental accounting. She closely monitors regulatory bodies for changes in auditing and accounting guidance and serves as a subject matter expert in implementing the updated guidance.

Melisa was a speaker on audit topics at SCACPA’s 2019 Spring Splash. Look for her to return this November for Fall Fest as well as many seminars and rebroadcasts.

You can read SCACPA’s Q&A with Melisa conducted during some break time at Spring Splash here.