In 2002, FASB adopted SFAS
144, which greatly expanded the scope of transactions that might qualify for discontinued operations accounting.
Soroosh and Espahbodi (2007) report that the application of SFAS
158 to the financial statements of Merck in 2004 would increase the net liability status of the pension fund and cause a decrease in owners' equity of $1.
The Financial Accounting Standard Board (FASB) issued SFAS
Table 2 shows the average ratios for the companies in our sample after adjusting for implementation and ongoing compliance with SFAS
159 requires that the difference between the carrying value before election of the fair value option and the fair value of these instruments be recorded as an adjustment to beginning retained earnings in the period of adoption.
162 comes in response to an SEC study in July 2003, which, in part, endorsed an improvement to the SAS 69 GAAP hierarchy ("old GAAP hierarchy").
The fair value option is designed to encourage improved balance sheet management, to better react to changes in interest rates and to provide an alternative to the complex SFAS
The following is a summary of the most significant FASB standards issued since 1975 (listed in Appendix D of SFAS
157) that currently require fair value measurements to be reported in financial statements.
However, the release of SFAS
106 also had unintended economic consequences in that many companies simply ceased providing such benefits to their employees, at a large social cost.
Public companies' (excluding small business issuers') financial statements must reflect SFAS
123(R) as of the start of the first fiscal year beginning after June 15, 2005.
This article provides empirical evidence regarding the potential impact of SFAS
133 on the measuring and reporting practices of the largest twenty-five United States (US)-based banks.
A Case Study of a Business Combination Under SFAS