Summary of Statement No. 42
Determining Materiality for Capitalization of Interest Cost—an amendment of FASB Statement No. 34 (Issued 11/80)
This Statement amends FASB Statement No. 34, Capitalization of Interest Cost, (1) to delete language that some believe allows capitalization of interest to be avoided under certain circumstances and (2) to make clear that Statement 34 does not establish new tests of materiality.