Financial reporting by entities in reorganization under the bankruptcy code : November 19, 1990; Statement of position 90-07;

https://egrove.olemiss.edu/aicpa_sop/1200/thumbnail.jp

Proposed statement of position : financial reporting by entities in reorganization under the bankruptcy code ;Financial reporting by entities in reorganization under the bankruptcy code; Exposure draft (American Institute of Certified Public Accountants), 1990, Apr. 4

This proposed statement of position provides guidance for financial reporting by entities that have filed petitions with the Bankruptcy Court and expect to reorganize as going concerns under Chapter 11 of title 11 of the United States Code. It recommends that all such entities report the same way while reorganizing under Chapter 11, with the objective of reflecting their financial evolution. To do that, their financial statements should distinguish transactions and events that are directly associated with the reorganization from the operations of the ongoing business as it evolves. The statement recommends that, on emergence from Chapter 11, entities meeting specified criteria adopt fresh start reporting since, in substance, the creditors have acquired the entities. It also recommends how entities not meeting those criteria should report their liabilities.https://egrove.olemiss.edu/aicpa_sop/1531/thumbnail.jp