Related party reminders

The accounting and auditing guidance surrounding related-party transactions has not changed in recent years; however, it remains a constant area of peer review findings and an area that is easy to overlook in many engagements. In this report, we’ll summarize the authoritative accounting and auditing guidance for related-party transactions, while highlighting some areas that have been troublesome for practitioners. The relevant accounting requirements are included in FASB Accounting Standards Codification [FASB ASC] 850, Related Party Disclosures. The relevant auditing