FASB recently issued a Proposed Accounting Standard Update on impairment for intangible assets. What is the primary purpose for FASB to issue Proposed Accounting Standards Updates?
FASB recently issued a Proposed Accounting Standard Update on impairment for intangible assets. What is the primary purpose for FASB to issue Proposed Accounting Standards Updates?
Those amendments were in response to concerns expressed by private companies and their stakeholders (including users) about the cost and complexity of the goodwill impairment test and the accounting for certain identifiable intangible assets, among other concerns. When the Board issued both Updates, it acknowledged that the issues the Updates addressed were not limited to private companies; they also pertain to not-for-profit entities and public business entities. Therefore, the Board added to its agenda projects addressing the subsequent accounting for goodwill and the accounting for certain identifiable intangible assets for those other entity types.
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