The US Financial Reporting Standards Board (FASB) presented a preliminary version of the updates to the standards on three topics:
• 205 “Presentation of financial statements”
• 942 “Financial Services – Depository and Lending”
• 946 “Financial Services – Investment Companies”.
It is noted that the updates were made in connection with the publication of new guidance from the Securities and Exchange Commission Release No. 33-10786 and correspond to it. The final version of the new management was released on May 20, 2020 and amended the requirements for disclosure about acquired or disposed business.
The changes were made by the chief financial regulator of the United States to assist market participants with judgments about the materiality of acquired/disposed businesses and to improve the quality of relevant disclosures in their financial statements.