PwC's accounting weekly news: October 16, 2020

Last week we kicked off the second season of our What’s next? podcast series focusing on what’s next in tech for the finance professional. In this week’s episode, we discuss how to empower your employees to embrace digital change and be part of citizen-led transformation of the finance function.

And for those working on their quarter close, we have a back to basics podcast on discontinued operations to help address an uptick in questions we’ve been hearing.

Discontinued operations, your reporting questions answered

This week, we go back to basics to talk about discontinued operations. It’s an area that’s recently seen an increase in questions, so we’re taking a closer look at when discontinued operations accounting applies and how it may impact financial statements.

To learn more, read Chapter 5 of our Property, plant, equipment and other assets guide and Chapter 27 of our Financial statement presentation guide.

CFO insights from the latest PwC Pulse Survey

Results from our second Election 2020 Pulse Survey indicate chief financial officers are cautiously optimistic about financial performance in the next year. They are also paying attention to the election and anticipating business risks that could develop regardless of the outcome. We also heard what CFOs are banking on when it comes to digital transformation efforts. Read more details here.

What’s next in tech for finance? Citizen-led innovation

This podcast is the second episode in the second season of our What’s next? podcast series for CFOs, controllers—anyone in finance. This season we’re focusing on what’s next in tech for the finance professional—discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Paul Sheward, a partner on PwC’s Innovation Leadership Team, to discuss how empowering people to leverage technology in a way that drives improvement and efficiency is an essential part of citizen-led innovation.

Practical guide to IFRS Phase 2 amendments for IBOR reform

The IASB has issued amendments to several standards that address issues arising during the reform of benchmark interest rates. Given the pervasive nature of IBOR-based contracts, the amendments could affect companies in all industries. This In depth provides guidance on how to apply the Phase 2 amendments to various contracts and hedge accounting relationships, including the interaction with the Phase 1 reliefs for hedge accounting.

Need a refresher on reference rate reform under US GAAP? Read our accounting guide and listen to our podcast.

PwC’s Global Crisis Survey 2021

We talked to 2,000 companies who reflected on their crisis response to COVID-19 and shared what they are doing to invest in future resilience. Find out how your pandemic crisis response stacks up to your peers’ and learn what changes you can make today to be better prepared for tomorrow.

Here’s what we’re following

FASB issues codification improvements to guidance on nonrefundable fees and other costs

On October 15, the FASB issued ASU 2020-08 clarifying when a reporting entity should assess whether a callable debt security is within the scope of ASC 310-20-35-33, which impacts the amortization period for nonrefundable fees and other costs. The new guidance is effective for public business entities in 2021.

Accounting for and auditing of digital assets

On October 8, the AICPA published its updated practice aid, Accounting for and Auditing of Digital Assets. The AICPA is also planning a November webcast to dive deeper into accounting for transactions involving crypto and other digital assets.