Close

Are you in compliance?

Don't miss out! Sign up today for our weekly newsletters and stay abreast of important GRC-related information and news.

×

Status message

Start your free, no obligation 5-day trial to continue exploring with full access.

FASB shortens write-down period for some debt securities

Tammy Whitehouse | March 31, 2017

The Financial Accounting Standards Board has settled on a new way for companies to write down the value of certain debt securities.

FASB published Accounting Standards Update No. 2017-08 to change the requirements under GAAP for amortizing certain purchased callable debt securities that are carried at a premium. Currently, companies typically amortize the premium as an adjustment to the yield over the contractual life of an instrument. Now companies will have to adjust to a shorter amortization period.

Users of financial statements raised concerns to FASB over the current amortization methods, first indicating different entities tend to follow different methods, which makes it more difficult...

Read this single article for $49, or click the subscribe button below to review subscription options.

Enjoy unlimited access to thousands of articles, browse five years of digital magazines, qualify for reduced admission to events, and more.