A recent update from the Financial Accounting Standards Board (FASB) allows the first time adoption of the four private company accounting alternatives without having to perform a preferability assessment.
Recent changes related to accounting for goodwill, interest rate swaps, common control leasing arrangements and intangible assets in a business combination provided accounting alternatives for private companies. The first three private company accounting alternatives were effective for annual periods beginning after December 15, 2014, while the fourth alternative was effective for annual periods beginning after December 15, 2015.