Accounting Guide

Preface

Prepared by the Stockbrokerage and Investment Banking Committee.

(Updated as of August 1, 2019)

About AICPA Accounting Guides

This AICPA Accounting Guide has been developed by the AICPA Stockbrokerage and Investment Banking Committee to assist management in the preparation of their financial statements in conformity with U.S. generally accepted accounting principles (GAAP). The guidance within this publication has no authoritative status.

The Financial Reporting Executive Committee (FinREC) is the designated senior committee of the AICPA authorized to speak for the AICPA in the areas of financial accounting and reporting. Conforming changes made to the financial accounting and reporting guidance contained in this guide are approved by the FinREC Chair (or his or her designee). Updates made to the financial accounting and reporting guidance in this guide exceeding that of conforming changes are approved by the affirmative vote of at least two-thirds of the members of FinREC.

This guide does the following:

•     Identifies certain requirements set forth in FASB Accounting Standards Codification^® (ASC).

•     Describes FinREC’s understanding of prevalent or sole industry practice concerning certain issues. In addition, this guide may indicate that FinREC expresses a preference for the prevalent or sole industry practice, or it may indicate that FinREC expresses a preference for another practice that is not the prevalent or sole industry practice; alternatively, FinREC ...