Exposure Drafts, Comment Letters, and Statements of Position
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Description
The proposed statement recommends certain changes in the traditional format and presentation in statements of changes in financial position for banks in order to provide more meaningful guidance to accountants and bankers on this subject. The proposed statement of changes in financial position emphasizes financial resources invested in earnings assets. Related banking activities are presented together as financial resources provided by (1) operations, (2) deposits and other financing activities, and (3) nonearning investments of financial resources. The proposed statement of changes in financial position is based on changes in year-end balance sheet amounts rather than average balances. In addition to specific recommendations concerning form and content of banks' statements of changes in financial position, the proposed statement of position suggests additional types of explanatory disclosure that would not be embodied in the basic financial statements, but would help the reader better understand the interest rate sensitivity and funds management of banks.
Publication Date
1985
Relational Format
Book
Keywords
Funds-flow statements; Banks and banking -- Accounting -- Standards -- United States
Disciplines
Accounting | Taxation
Recommended Citation
American Institute of Certified Public Accountants. Committee on Banking, "Proposed statement of position : Reporting funds flows, liquidity, and financial flexibility for banks ;Reporting funds flows, liquidity, and financial flexibility for banks; Exposure draft (American Institute of Certified Public Accountants), 1985, Oct. 1" (1985). Exposure Drafts, Comment Letters, and Statements of Position. 482.
https://egrove.olemiss.edu/aicpa_sop/482
Comments
Originally published by: American Institute of Certified Public Accountants; Copyright and permission to reprint held by: American Institute of Certified Public Accountants.