PwC's accounting weekly news: July 31, 2020

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At the end of his first month as chairman, Richard Jones presided over the FASB’s meeting on its agenda and project prioritization. Eight agenda requests were considered, but only three made the cut. See our summary below, which includes a link to the FASB page where its tentative decisions are posted.

What’s next? Get in front of disruption with a winning strategy

This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? This week, host Heather Horn sits down with Paul Leinwand, PwC Strategy& Principal, to discuss how companies can emerge stronger through a focus on their unique capabilities, preparing for disruption, and connecting employees to the company’s purpose.

Dealing with government grants? Here’s what you need to know

Government assistance can be a boon in uncertain economic times, but the related accounting can be confusing. Hear PwC describe which standard to use.

Business combinations and noncontrolling interests guide

Accounting for an acquisition? Have questions about accounting for goodwill? Download our updated Business combinations and noncontrolling interests guide.

You may also be interested in hearing PwC partners discuss the key differences in the accounting for asset acquisitions and business combinations. Listen to our podcast Asset vs. business acquisition: The differences you need to know.

Engaging with the audit committee: five ways for Chief Audit Executives to stand out

Engaging with the audit committee is not the same as engaging with other members of senior management. Directors’ expectations are different. So how can Chief Audit Executives up their boardroom game? We’re sharing 5 tips.

2020 Midyear Deals Industry Insights

While the M&A market has started to stabilize, companies must act quickly to drive transformation. Explore the data and trends we’re seeing in the market.

PwC Workforce Pulse Survey

Our new survey exploring employee attitudes and behaviors toward cybersecurity at work reveals critical areas for leaders to address in reducing the risk of cyber attacks on their organization.

Here’s what we’re following

FASB votes on potential projects for agenda

At its July 29 meeting, the FASB voted to add a project to its technical agenda to make targeted improvements to ASC 842, Leases, related to: (1) sales-type leases with substantial variable lease payments, (2) remeasurement of lease payments based on a reference index or rate, and (3) reduction of scope in a master lease agreement. The FASB expects to issue an exposure draft for comment on these topics in September.

The FASB also added projects to address the effect of underwriter restrictions and research other restrictions on fair value measurements. In addition, the FASB will consider developing a principle for benchmark interest rates eligible for fair value hedge accounting as part of its project on reference rate reform.

The FASB considered several other projects but did not add them to their agenda.

FASB discusses joint venture accounting

At its July 22 meeting, the FASB tentatively decided to require a joint venture to account for contributions from venturers at fair value as though the joint venture were the acquirer of a business. This would be a change to practice. Today, a joint venture generally records assets contributed to it at formation at cost. The FASB will continue to discuss this issue at a future meeting.

Contact us

Heather Horn

Heather Horn

US Strategic Thought Leader, National Professional Services Group, PwC US

David Schmid

David Schmid

International Accounting Leader, National Professional Services Group, PwC US