A Day in the Life at FASB
by John Ly, BBA ’08, MPA ’08, Postgraduate Technical Assistant
Accounting is not just about debits and credits and it is certainly not black and white. There is a gray area where there isn’t always a right answer, and to create an accounting standard that attempts to capture the best answer is certainly a fascinating and dynamic process. As a Financial Accounting Standards Board (FASB) postgraduate technical assistant (PTA), I get the privilege of participating in this process and much more.
Ever wonder why financial statements are structured the way they are? By working on the Financial Statement Presentation project, I am actively involved in thinking about the different ways financial statements can be reformatted. On a daily basis, I am responsible for comparing financial statements in today’s format to a proposed new layout to see how the quality of information can be improved. The goal is to provide constituents with a presentation model that disaggregates information and makes the financial statements a cohesive unit rather than the disjointed, disconnected puzzle it is currently. In turn, this will decrease the time it takes to find information the user wants while maximizing the time for analysis.
I’m also involved with the writing and adoption process of an accounting standard related to the oil and gas industry and another related to the GAAP Hierarchy. By working on these two particular projects from beginning to end, I get the added benefit of learning the underlying importance of each step within the standard setting process. Likewise, I’m able to witness firsthand the balancing act of incorporating the needs of the FASB’s constituents while producing valuable financial information that portrays the economic reality of a company. Aside from my main projects, I’m also responsible for researching answers to technical inquiries that come from the public and for preparing FASB Board meeting materials, including memos, minutes and summaries. And the list continues.
Needless to say, no one day is the same at the FASB, but that’s what I like about this position. You are constantly exposed to a variety of new things and with that comes opportunities to learn and to critically think about tough accounting issues. Overall, being a PTA has challenged my way of thinking about accounting, broadened my perspective on its principles and concepts and increased my appreciation of its complexity. There isn’t a thing I’d change about the job. Well, I guess it would be nice if there was a little warm weather and some Texas barbeque up here in Connecticut!
