PCC Flashcards
1
Q
What is the tradeoff for setting GAAP by the PCC?
A
Relevance v. Cost-benefit
2
Q
The PCC has issued modified accounting for private companies for what aspect of goodwill?
A
The PCC has issued modified accounting for private companies for goodwill amortization. The PCC allows private companies to amortize goodwill over a period not exceeding 10 years.
3
Q
The purpose of the Private Company Council
A
The purpose of the Private Company Council is to assist the FASB in identifying whether and when a private company standard should be developed. The PCC works with the FASB to set private company accounting standards.
