FASB Clarifies The Interaction Between The Accounting For Equity Securities, Equity Method Investments, And Certain Derivative Instruments
The FASB has issued ASU 2020-01, Investments-Equity Securities (Topic
321), Investments-Equity Method and Joint Ventures (Topic 323), and
Derivatives and Hedging (Topic 815): Clarifying the Interactions between
Topic 321, Topic 323, and Topic 815 to clarify the application of
the measurement alternative to measure certain equity securities without
a readily determinable fair value at cost, minus impairment plus or
minus any observable price changes amended in ASU 2016-01.