Before developing our 2022-2027 Strategic Plan, the AcSB heard that the Preface to the CPA Canada Handbook – Accounting might have been directing entities to apply an accounting framework that was unsuitable given their size, complexity, operations, and/or the information needs of financial statement users. As a result, we added evaluating the Preface as an objective to our 2022-2027 Strategic Plan, and the Evaluating the Preface project began in 2022.
Our goal with the project was to assess whether the applicability of each framework in the Handbook to each category of reporting entity met the needs of interested and affected parties in Canada. As part of this project, we conducted outreach with our Committees to identify any issues with the application of the Preface and to ascertain whether any changes to the Preface were needed.
Based on our research activities, we identified five distinct issues with the application of the Preface. However, through further research, we determined that no changes to the Preface are needed at this time. As a result, we concluded our Evaluating the Preface project.
We will now consider resuming our research project on Revenue – Upfront Non-refundable Fees or Payments as a future agenda priority.
To learn more about the AcSB’s research on the Preface, read our project summary, “Evaluating the Preface – Project Summary”:
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