Audit & Accounting

The New Nonprofit Liquidity Disclosures

nonprofit liquidity disclosures

Accounting Standards Update 2016-14 “Liquidity worries haunt nonprofits,” intoned CFO Magazine in a 2009 headline. At that time, not-for-profit organizations were scaling back, and few were sitting on cash. This lack of liquidity worsened nonprofits’ financial straits during the recession and afterward. Hard times, in turn, made liquidity harder to...

FASB Improves Accounting Related to the Tax Cuts & Jobs Act

FASB Improves Accounting

The Financial Accounting Standards Board (FASB) addressed an accounting issue created by the Tax Cuts & Jobs Act by releasing FASB Accounting Standards Update (ASU) 2018-02, Income Statement – Reporting Comprehensive Income. This ASU addresses an accounting issue having been coined the name “the stranded tax effect” and is...

Help for Health Care Entities’ Financial Reporting Requirements

ASU 2016-17

For Health Care Entities structured as a not-for-profit organization, the AICPA has recently released guidance for implementing FASB Accounting Standards Update (ASU) 2016-14, Presentation of Financial Statements of Not-for-Profit Entities. The ASU 2016-14 significantly changes the way all not-for-profit organizations classify net assets and prepare financial statements and is...

Healthcare Organizations Need to Prepare for Revenue Recognition Changes

By Linda Marie Pearson, CPA, CFE The implementation of FASB’s Accounting Standards Update (ASU) No. 2014-09, Revenue From Contracts with Customers (Topic 606) will affect how healthcare organizations recognize revenues. The purpose of the change is to eliminate industry specific revenue recognition rules and establish a universal rule for...

Delayed Implementation Date for Some

The Financial Accounting Standards Board issued Accounting Standards Update (ASU) No. 2017-13, Revenue Recognition (Topic 605), Revenue from Contracts with Customers (Topic 606), Leases (Topic 840), and Leases (Topic 842) which allows for a later adoption of the revenue and lease ASU's. This option is made only to businesses...

FASB to Amend U.S. GAAP for Classifying Debt

- by Linda Marie Pearson, CPA, CFE In September 2017, FASB agreed to amend U.S. GAAP with respect to classification of debt.  Under the forthcoming update, if a liability is due to be settled more than one year or more than one operating cycle after the balance sheet date,...

Healthcare Summit Presented by RIMA

Healthcare Summit for Manufacturers

Rhode Island Manufacturers Association (RIMA) is hosting a Healthcare Summit on September 14, 2017 from 7:30 am to 10:00 am at the Providence Marriott on Orms Street. The Healthcare Summit will feature Dr. Marie Ganim, RI's newly appointed health insurance commissioner as well as leaders from...

AICPA Addresses Three Revenue Recognition Implementation Issues

-by Andrew de Labry, CPA In May 2014 the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606), which outlines a single comprehensive model to use in accounting for revenue arising from contracts with customers. The ASU supersedes and replaces nearly...