Reporting reset – Derivatives and hedging

PwC's accounting podcast

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In this episode, we continue our miniseries on financial statement presentation and disclosure with a focus on derivatives and hedging. Derivatives and hedging are topics applicable to many companies, but the accounting and related presentation and disclosures can be complex. This episode breaks down the requirements with practical insights and guidance.

In this episode, we discuss:

• 1:10 – An overview of derivatives and hedging, including common examples
• 3:34 – Balance sheet presentation
• 9:03 – Income statement presentation
• 11:42 – Cash flow statement classification
• 15:19 – Key disclosure requirements

For more information, see chapter 19 of our Financial statement presentation guide and our Derivatives and hedging guide. You can also listen to the other episodes in this miniseries:

• Reporting reset – Presentation fundamentals
• Reporting reset – Fair value disclosures
• Reporting reset – Consolidation disclosures
• Reporting reset – Stock-based compensation
• Reporting reset – Loans, receivables, and investments

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About our guest

Bret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.

About our host

Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Chapters

1. Reporting reset – Derivatives and hedging (00:00:00)

2. An overview of derivatives and hedging, including common examples (00:01:10)

3. Balance sheet presentation (00:03:34)

4. Income statement presentation (00:09:03)

5. Cash flow statement classification (00:11:42)

6. Key disclosure requirements (00:15:19)