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Original air date: Aug. 22, 2013
View a recording at http://www.mhmcpa.com
In 2009, the IASB issued a simplified version of International Financial Reporting Standards for small and medium entities (IFRS for SMEs). This framework is intended for use by non-publicly traded companies and external users which include owners, existing and potential creditors, as well as credit agencies.
The AICPA recently issued its own framework for financial reporting which is an alternative to U.S. GAAP for SMEs. This framework is not considered U.S. GAAP — it reflects an alternative for private companies that may find compliance with U.S. GAAP to be costly and burdensome. In addition, the FASB is also working on issuing its own set of simplified accounting standards via the Private Company Council.