With the 2017 Q3 filing season in full-swing, the pressing question external reporting professionals and legal counsels are asking is “How can we avoid SEC scrutiny?”. If your company is still evaluating the impact of the new revenue recognition standard on your financial statements, there might be some insights you can gain from a quick review of the SEC Comment Letters that have been issued on the SAB 74 disclosures related to ASC 606. Already early-adopted? Stay ahead by analyzing what other early adopters have been questioned on.
FEI Conducted Research on SEC Comment Letters Using idaciti Platform
The Financial Executives Institute (FEI), using the idaciti platform to conduct their research and analyses, recently published a report on some interesting trends and insights on these ASC 606-related Comment Letters. Here are some high-level statistics:
- 3 early-adopters received a Comment Letter related to their 606 disclosures;
- 15 companies received comments on inadequate SAB 74 disclosures; and finally,
- 3 companies received requests to revise the disclosed effective date of the standard.
Combing through EDGAR or performing an internet search for SEC Comment Letters on a particular topic is like looking for a needle in a haystack...and, not to mention, time-consuming and onerous. Doing this research on the idaciti platform, literally, takes seconds. Better still, we are constantly innovating and integrating advanced technology into our platform so that we can help our customers conduct their research and analyses more efficiently. With idaciti, you can receive notifications automatically on important topics as soon as a company files or receives an SEC Comment letter, including early-adopter of Revenue Recognition or any other new accounting standards.