ASU 2016-14

The FASB added a project to its agenda to improve the current net asset
classification requirements and the information presented in financial statements
and notes about a not-for-profit entity’s (NFP’s) liquidity, financial performance,
and cash flows. The FASB’s Not-for-Profit Advisory Committee (NAC) and other
stakeholders indicated that existing standards for financial statements of NFPs are
sound but could be improved to provide more useful information to donors,
grantors, creditors, and other users of financial statements. This Update is the
result of the FASB’s efforts in the first of two phases of its project.