Title: American Accounting Association's Financial Accounting Standards Committee Response to FASB Exposure Draft, "Proposed Interpretation: Consolidation of Certain Special-Purpose Entities"
Abstract:Laureen A. Maines, Chair; Eli Bartov; Anne Beatty; Christine Botosan; Patricia M. Fairfield; D. Eric Hirst; Teresa E. Iannaconi; Russell Mallett; Mohan Venkatachalam; Linda Vincent September 5, 2002 T...Laureen A. Maines, Chair; Eli Bartov; Anne Beatty; Christine Botosan; Patricia M. Fairfield; D. Eric Hirst; Teresa E. Iannaconi; Russell Mallett; Mohan Venkatachalam; Linda Vincent September 5, 2002 The Financial Accounting Standards Committee of the American Accounting Association (“the Committee”) is charged with responding to requests for comment from standard setters on issues related to financial reporting. The Committee is pleased to respond to the FASB Exposure Draft on Proposed Interpretation: Consolidation of Certain Special-Purpose Entities (hereafter, the ED). The comments in this letter reflect the views of the individuals on the Committee and not those of the American Accounting Association. Our response is presented in five sections. First, in order to evaluate the ED we describe the Committee’s perspective on a principles-based general consolidation standard. In the second section, we evaluate the ED within the rubric of this principles-based standard. The third section describes the Committee’s general comments and recommendations on the proposals in the ED. The fourth section summarizes relevant academic accounting research findings that form the basis for the Committee’s views. This research does not directly investigate the consolidation of SPEs, but addresses related issues including off-balance sheet financing, consolidation, and general disclosure issues. The Committee’s opinion on SPEs is based on inferences from related research, as well as the Committee’s understanding of the FASB’s Conceptual Framework. The final section summarizes our position.Read More
Publication Year: 2002
Publication Date: 2002-01-01
Language: en
Type: article
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Cited By Count: 2
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