Media Advisory 08/31/15
FASB PROPOSES CLARIFICATION TO PRINCIPAL VS. AGENT GUIDANCE IN REVENUE RECOGNITION STANDARD
Norwalk, CT, August 31, 2015—The Financial Accounting Standards Board (FASB) today issued a proposed Accounting Standards Update (ASU) intended to clarify the implementation guidance on principal versus agent considerations contained in the new revenue recognition standard. Stakeholders are encouraged to review and provide comment on the proposal by October 15, 2015.
The proposed ASU is available for review at www.fasb.org.
About the Financial Accounting Standards Board
Established in 1973, the FASB is the independent, private-sector, not-for-profit organization based in Norwalk, Connecticut, that establishes financial accounting and reporting standards for public and private companies and not-for-profit organizations that follow Generally Accepted Accounting Principles (GAAP). The FASB is recognized by the Securities and Exchange Commission as the designated accounting standard setter for public companies. FASB standards are recognized as authoritative by many other organizations, including state Boards of Accountancy and the American Institute of CPAs (AICPA). The FASB develops and issues financial accounting standards through a transparent and inclusive process intended to promote financial reporting that provides useful information to investors and others who use financial reports. The Financial Accounting Foundation (FAF) supports and oversees the FASB. For more information, visit www.fasb.org.