At its meeting on November 14, 2018, the FASB voted to amend ASU 2016-131 to allow companies to irrevocably elect, upon adoption of ASU 2016-13, the fair value option on financial instruments that were previously recorded at amortized cost that are within the scope of ASC 326-202 if the instruments are eligible for the fair value option under ASC 825-10.3 The entity would make this election on an instrument-by-instrument basis. The FASB directed its staff to draft the proposed ASU.
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