Accounting Update - 2022

Course Objective

The objective of the Accounting Update is to provide practitioners and firms with an overview of recent changes to Accounting Standards for Private Enterprises (ASPE) and Accounting Standards for Not-for-Profit Organizations (ASNPO), as well as review the status of projects in 2022.  The course will also review and discuss current exposure drafts and invitation to comment documents.

The course will review common financial statement presentation and reporting errors found by Practice Inspectors and our experience as Completed File monitors.

ASPE:

The course will examine recent handbook additions:

Standards issued with effective dates in 2021 and 2022:

The course will examine amendments to the following standards.

• 2021 Annual Improvements
  • s. 1500 First-time adoption
  • s. 1510 Current assets and current liabilities
  • s. 1540 Cash-flow statement
  • s. 3856 Financial instruments
• Amendments to
  • s. 3400 Revenue
  • s. 3462 Employee future benefits

Exposure drafts

Cloud Computing Arrangements:

In response to stakeholder input on the diversity of cloud computing arrangements, specifically concerns about the accounting for expenditures on implementation activities and the complexity involved in applying the existing guidance the AcSB decided to address the issues through an Accounting Guideline which is due to be issued in Q4, 2022.

ASNPO:

The course will examine active ASPE projects for 2022:

Contributions – Revenue Recognition and Related Matters

This project is reviewing whether improvements are needed relating to the recognition of revenue from contributions. The consultation paper is examining the following types of contributions (i.e. restricted contributions, endowment contributions, pledges, etc.). The AcSB approved the project to develop an exposure draft in March 2022.