OPPapers.com

Accounting Chief

Financial Accounting Standards Board

ORIGINAL PRONOUNCEMENTS
AS AMENDED

Statement of Financial Accounting Standards No. 159
The Fair Value Option for Financial Assets and Financial Liabilities Including an amendment of FASB Statement No. 115

Copyright © 2008 by Financial Accounting Standards Board. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the Financial Accounting Standards Board.

FAS159

Statement of Financial Accounting Standards No. 159 The Fair Value Option for Financial Assets and Financial Liabilities Including an amendment of FASB Statement No. 115
STATUS
Issued: February 2007 Effective Date: As of the beginning of each reporting entity’s first fiscal year that begins after November 15, 2007; this Statement should not be applied retrospectively to fiscal years beginning prior to the effective date, except as permitted in paragraph 30 for early adoption. Affects: Amends APB 21, paragraph 16 Amends FAS 57, paragraph 24(f) Amends FAS 95, paragraphs 15 through 17 and footnote 8c Effectively amends FAS 95, footnote 5 Amends FAS 102, paragraph 8 Amends FAS 115, paragraphs 4, 17, and 18 Effectively amends FAS 123(R), paragraph E1 Amends FAS 124, paragraph 6 Amends FAS 133, paragraphs 42 and 44A Effectively amends FAS 140, paragraph 364 Effectively amends FAS 141, paragraph F1 Affected by: No other pronouncements

SUMMARY
Why Is the FASB Issuing This Statement? This Statement permits entities to choose to measure many financial instruments and certain other items at fair value. The objective is to improve financial reporting by providing entities with the opportunity to mitigate volatility in reported earnings caused by measuring related assets and liabilities differently without having to apply complex hedge accounting provisions. This Statement is...