SEC Adopts Final Rules on XBRL
Mandates use of interactive data format for public company financial statements
By Andrew H. Abramowitz and Marcus J. Williams
On Jan. 30, 2009, the Securities and Exchange Commission (SEC) issued final rules regarding the provision of financial statements by public companies in an interactive data format known as XBRL. The rules will be phased in over the next three years, based on the market capitalization of a given registrant. Some commentators have expressed concern about the costs associated with the required use of the XBRL format, but the SEC believes that, over time, the process will lead to increased automation and decreased costs.
Following is an overview of XRBL: what it is, who must use it, when it will be phased in, rules relating to its use and a brief comment on practical considerations. Continue reading...
