International

The International Accounting Standards Board published an ED of proposed amendments to International Accounting Standard (IAS) 23, Borrowing Costs ( www.iasb.org ). The proposal requires entities to capitalize borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset as part of its cost, rather than immediately recognizing borrowing costs as an expense. This change would align IAS 23 with the provisions of the Financial Accounting Standards Board’s Statement no. 34, Capitalization of Interest Cost ( www.fasb.org/st/summary/stsum34.shtml ) and thus improve comparability between U.S. GAAP and international standards. Comments are due September 29, 2006.

The International Federation of Accountants’ Professional Accountants in Business Committee released Business Planning Guide: Practical Application for SMEs, an information paper that shows managers in small and midsize entities—and the accounting firms that serve them—how to manage risk and develop business plans to help measure performance and obtain external funding. The paper is available free of charge at www.ifac.org/store .