Industry News & Updates

Stay current on the latest in the industry

Industry News & Updates

Stay current on the latest in the industry

CASB Proposed Changes to CAS 404 and CAS 411

On January 17th, 2024, the Cost Accounting Standards Board (CASB) issued an advanced notice of proposed rulemaking (ANPRM) regarding proposed changes to the Cost Accounting Standards (CAS). These proposed changes relate to CAS 404: Capitalization of Tangible Assets and CAS 411: Accounting for Acquisition Costs of Material. The Board is proposing to eliminate all requirements under CAS 404 and 411 apart from 404-50(d)(1), which addresses the value assigned to assets resulting from a business combination.

The Private Company Council Issues its 2024 Annual Report

On March 15, 2025, the Private Company Council (PCC) issued its 2024 annual report – the first annual report that the council has ever released – highlighting areas of progress and accomplishments for the council. The PCC was established in 2012 to work with the Financial Accounting Standards Board (FASB) to improve the accounting standards for private companies that follow GAAP. Since inception, they have made significant progress in advising the FASB on current accounting and reporting issues that are important to private company stakeholders, as well as assisting in finalizing Accounting Standards Updates.

FASB Update will Require Income Statement Disaggregation and Additional Disclosures

On November 4th, 2024, the Financial Accounting Standards Board (FASB) published an Accounting Standards Update (ASU), No. 2024-03 titled Disaggregation of Income Statement Expenses, which improves financial reporting by requiring public companies to disclose additional information about certain costs and expenses in the notes to financial statements. This ASU aims to improve financial reporting by requiring that public business companies disclose additional information about specific expense categories in the notes to financial statements at interim and annual reporting periods.

ASBCA Claim Decision

On May 4, 2024, the Armed Services Board of Contract Appeals (“ASBCA”) awarded nearly $4.9 million in damages plus Contract Disputes Act interest to Konecranes Nuclear Equipment Services, LLC (“Konecranes”) due to a breach of contract by the Navy. The breach of contract stems from the Navy’s unjust refusal of a delivery of cranes that met contractual requirements.

DCAA Report to Congress

In March 2024, the Defense Contract Audit Agency (DCAA) released its Report to Congress. The report covers the Agency’s audit activities in FY 2023 and plans for FY 2024. The areas addressed in the report include Forward Pricing, Incurred Cost, Claims and Terminations, Business Systems, Cost Accounting Standards (CAS) & Truth in Negotiations.