The Financial Accounting Standards Board and the International Accounting Standards Board issued the fruits of their most significant convergence effort yet—parallel proposals on new accounting for business combinations that seek to treat all combinations as acquisitions.
FASB and IASB jointly issued exposure drafts last week on business combinations that advocate a single accounting method in which one party is always identified as acquiring the other. FASB also issued a separate related proposed statement on noncontrolling interests, or minority interests, closely paralleling IASB’s direction on the same subject.
