Private Company Council

Question 1

What are the primary responsibilities of the Private Company Council?

Answer 1

• Identify places within GAAP where there are opportunities for alternative accounting for private companies
• Advise FASB on how items may impact private companies

Question 2

What defines a public entity according to the PCC (doesn’t include not for profits or employee benefit plans)?

Answer 2

• Required by SEC to furnish financial statements
• Is required to furnish financial statements with foreign or domestic regulatory agencies to sell securities
• Has issued securities that are traded, listed, or quoted on an exchange or OTC market