Fourth quarter accounting and financial reporting developments


During the fourth quarter of 2020, the Financial Accounting Standards Board issued new standards related to deferral of the effective date for long-duration insurance contracts guidance, codification improvements, Securities and Exchange Commission (SEC) registered debt offering disclosure requirements, and accounting for certain purchased callable debt securities. It also issued proposals addressing goodwill accounting, acquired revenue contracts with customers in a business combination, reference rate reform, modifications of freestanding equity-classified forwards and options, and targeted improvements to lease accounting.

Also during the quarter, the SEC held a roundtable on U.S. credit market interconnectedness and COVID-19 risks, the Public Company Accounting Oversight Board reaffirmed its five-year strategic plan, and the American Institute of Certified Public Accountants updated its digital practice aid and continued to update available resources and guidance on the coronavirus and the Paycheck Protection Program.

In addition to these highlights from the quarter, this article covers updates from the Center for Audit Quality, the Governmental Accounting Standards Board, and more.

Fourth quarter accounting and financial reporting developments