A PDF version of this publication is attached here: Financial statement presentation guide (PDF 13.5mb)
PwC is pleased to offer our Financial statement presentation guide. This guide serves as a compendium of many of today’s presentation and disclosure requirements included in US GAAP, including relevant references to and excerpts from the FASB’s Accounting Standards Codification (the Codification). It also provides our insights and perspectives, interpretative and application guidance, illustrative examples, and discussion on emerging practice issues.
This guide also discusses the requirements in S-X, Article 5, for commercial and industrial companies. In most cases, the content does not include the requirements of other Articles of Regulation S-X or other industry-specific guidance. However, some chapters address topics relevant to reporting entities in other industries, such as investments and derivatives.
Appropriate financial statement presentation and disclosure is key to achieving the objectives of financial reporting, including providing decision-useful information to investors, lenders, creditors, and other stakeholders. This guide has been prepared to support practitioners in the preparation of their financial statements. It should be used in combination with a thorough analysis of the relevant facts and circumstances, review of the authoritative accounting literature, and appropriate professional and technical advice.
The guidance in this guide is applicable to reporting entities that are going concerns and addresses financial statement presentation and disclosure related to the core financial statements. As a result, the following areas are not addressed in this guide:
  • Management Discussion and Analysis (MD&A)
  • Regulation S-K reporting

PwC’s Bankruptcies and liquidations guide addresses the presentation and disclosure requirements applicable to entities reporting on a liquidation basis.
References to US GAAP
Definitions, full paragraphs, and excerpts from the FASB’s Accounting Standards Codification are clearly labeled. In some instances, guidance was cited with minor editorial modification to flow in the context of the PwC Guide. The remaining text is PwC’s original content.
References to other PwC guidance
This guide provides general and specific references to chapters in other PwC guides to assist users in finding other relevant information. References to other guides are indicated by the applicable guide abbreviation followed by the specific section number. The other PwC guides referred to in this guide, including their abbreviations, are:

Summary of significant changes
The following is a summary of recent noteworthy revisions to the guide. Additional updates may be made to future versions to keep pace with significant developments.
Revisions made in June 2023
FSP 10, Equity method investments
  • FSP was updated to discuss investments in tax credit entities after adoption of ASU 2023-02, including the broader application of the proportional amortization method. Guidance related to accounting for investments in tax credit entities prior to the adoption of ASU 2023-02 was moved to FSP Disclosure requirements under ASU 2023-02 are included in FSP 16.5.4.

Revisions made in April 2023
FSP 8, Other assets
  • The guidance on disclosure requirements for troubled debt restructurings in FSP was clarified.
  • FSP 8.4.2 added a disclosure requirement for net losses related to accrued firm purchase commitments.
  • FSP 8.5.1 was updated to clarify guidance on disclosure requirements related to cooperative advertising arrangements when advertising payments occur after the recognition of revenue related to those costs.

Revisions made in September 2022
FSP 11, Other liabilities

FSP 20, Fair value

FSP 29, Interim reporting

Revisions made in July 2022
FSP 19, Derivatives and hedging
  • FSP 19 was updated to include disclosure considerations required by ASU 2022-01 for portfolio layer method hedges.
  • FSP 19.3A, FSP 19.4A and FSP 19.5A were removed since ASU 2017-12 is now effective for all companies.

FSP 27, Discontinued operations
  • FSP was updated to include discussion of the presentation of fair value and cash flow hedges related to discontinued operations, previously in DH and DH, and additional commentary.

Revisions made in May 2022
FSP 5, Stockholders’ equity

FSP 7, Earnings per share
  • FSP 7.7 was added to discuss certain pro forma EPS considerations. Additionally, certain pro forma EPS considerations previously included in FSP 7.6 were moved to FSP 7.7.

FSP 12, Debt
  • FSP 12 was updated to include additional disclosure considerations required by ASU 2020-06.

FSP 21, Foreign currency
  • FSP 21.5.6 was added to discuss disclosure considerations related to changes in functional currency.

FSP 31, Parent company financial statements
  • FSP 31.2 was updated to enhance the discussion of authoritative guidance for parent company financial statements.
  • Example FSP 31-1 in FSP 31.4.2 was added to illustrate the differences between the equity method of accounting and accounting for investments in consolidated subsidiaries in parent company financial statements when there is a change in ownership during the period.
This publication has been prepared for general informational purposes, and does not constitute professional advice on facts and circumstances specific to any person or entity. You should not act upon the information contained in this publication without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this publication. The information contained in this publication was not intended or written to be used, and cannot be used, for purposes of avoiding penalties or sanctions imposed by any government or other regulatory body. PricewaterhouseCoopers LLP, its members, employees, and agents shall not be responsible for any loss sustained by any person or entity that relies on the information contained in this publication. Certain aspects of this publication may be superseded as new guidance or interpretations emerge. Financial statement preparers and other users of this publication are therefore cautioned to stay abreast of and carefully evaluate subsequent authoritative and interpretative guidance.
The FASB Accounting Standards Codification® and the FASB Concepts Statements are copyrighted by the Financial Accounting Foundation (FAF), 401 Merritt 7, PO Box 5116, Norwalk, Connecticut, 06856-5116, U.S.A., and are reproduced with permission. Complete copies of the documents are available from the FAF.
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