Accounting Developments

12 Months Ended

Nov. 30, 2024

Accounting Standards Update and Change in Accounting Principle [Abstract]

Accounting Developments

Note 3. Accounting Developments

Accounting Standards to be Adopted in Future Periods

Segment Reporting. In November 2023, the Financial Accounting

Standards Board (“FASB”) issued ASU No. 2023-07 (“ASU

2023-07”), Improvements to Reportable Segment Disclosures.

The guidance primarily will require enhanced disclosures about

significant segment expenses. The amendments in ASU 2023-07

are effective for fiscal years beginning after December 15, 2023,

and interim periods within fiscal years beginning after December

15, 2024, with early adoption permitted, and are to be applied on

a retrospective basis. We are evaluating the impact of the

standard on our segment reporting disclosures.

Income Taxes. In December 2023, the FASB issued ASU No.

2023-09 (“ASU 2023-09”), Improvements to Income Tax

Disclosures. The guidance is intended to improve income tax

disclosure requirements by requiring (i) consistent categories

and greater disaggregation of information in the rate

reconciliation and (ii) the disaggregation of income taxes paid by

jurisdiction. The guidance makes several other changes to the

income tax disclosure requirements. The amendments in ASU

2023-09 are effective for fiscal years beginning after December

15, 2024, with early adoption permitted, and are required to be

applied prospectively with the option of retrospective application.

We are evaluating the impact of the standard on our income tax

disclosures.

Expenses. In November 2024, the FASB issued ASU No. 2024-03

(“ASU 2024-03”), Disaggregation of Income Statement Expenses.

The guidance primarily will require enhanced disclosures about

certain types of expenses. The amendments in ASU 2024-03 are

effective for fiscal years beginning after December 15, 2026, and

interim periods within fiscal years beginning after December 15,

2027 and may be applied either on a prospective or retrospective

basis. We are evaluating the impact of the standard on our

disclosures.

Adopted Accounting Standards

Reference Rate Reform. The FASB issued guidance which

provides optional exceptions for applying U.S. GAAP to certain

contract modifications, hedge accounting relationships or other

transactions affected by reference rate reform. There was no

impact to our financial statements as a result of this guidance

upon the completion of our transition away from the London

Interbank Offered Rate (“LIBOR”) on June 30, 2023.

Financial Instruments—Credit Losses. In June 2016, the FASB

issued ASU No. 2016-13, Measurement of Credit Losses on

Financial Instruments. The guidance provides for estimating

credit losses on financial assets measured at amortized cost by

introducing an approach based on expected losses over the

financial asset’s entire life, recorded at inception or purchase. On

January 1, 2023, Berkadia, our equity method investee, adopted

this guidance and applied a modified retrospective approach

through a cumulative-effect adjustment to retained earnings

upon adoption, which resulted in a decrease in retained earnings

of $14.8 million, net of tax attributable to an increase in the

allowance for credit losses. Our equity method investee, Jefferies

Finance, adopted the guidance on December 1, 2023, and the

impact on our consolidated financial statements was not

material.