# ASC 205-30-50: Presentation of Financial Statements — Liquidation Basis of Accounting — 50 Disclosure

Source: FASB Accounting Standards Codification, Basic View

[Read online](https://asc.understandingaccounting.org/asc/205/30/#50-disclosure)

Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.

Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure.

Source downloaded (UTC): 2026-09-09T22:53:56.717Z to 2026-09-09T22:53:56.717Z

Record version: sha256:e376bcf208f6bccc7042c11f568e23b8f6b334f3bd766ca0b466153e4f980738

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


## ASC 205-30-50: 50 Disclosure

[Read section](https://asc.understandingaccounting.org/asc/205/30/#50-disclosure)

SEC content: no

##### [205-30-50-1](https://asc.understandingaccounting.org/asc/205/30/#205-30-50-1)

Pending content: no

Source downloaded (UTC): 2026-09-09T22:53:56.717Z to 2026-09-09T22:53:56.717Z

Record version: sha256:153cd1a5504c5d1137812175715a18d5a5090561a3ec1bcef84c56c97e07e112

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


An entity shall make all disclosures required by other Topics that are relevant to understanding the entity's [statement of net assets in liquidation](https://asc.understandingaccounting.org/glossary/s/#statement-of-net-assets-in-liquidation "A statement that presents a liquidating entity's net assets available for distribution to investors and other claimants as of the end of the reporting period.") and [statement of changes in net assets in liquidation](https://asc.understandingaccounting.org/glossary/s/#statement-of-changes-in-net-assets-in-liquidation "A statement that presents the changes during the period in net assets available for distribution to investors and other claimants during liquidation."). The disclosures shall convey information about the amount of cash or other consideration that an entity expects to collect and the amount that the entity is obligated or expects to be obligated (in the case of the accruals described in paragraphs

[205-30-25-6 through 25-7](https://asc.understandingaccounting.org/asc/205/30/#205-30-25-6)

) to pay during the course of [liquidation](https://asc.understandingaccounting.org/glossary/l/#liquidation "The process by which an entity converts its assets to cash or other assets and settles its obligations with creditors in anticipation of the entity ceasing all activities. Upon cessation of the entity's activities, any remaining cash or other assets are distributed to the entity's investors or other claimants (albeit sometimes indirectly). Liquidation may be compulsory or voluntary. Dissolution of an entity as a result of that entity being acquired by another entity or merged into another entity in its entirety and with the expectation of continuing its business does not qualify as liquidation.").

##### [205-30-50-2](https://asc.understandingaccounting.org/asc/205/30/#205-30-50-2)

Pending content: no

Source downloaded (UTC): 2026-09-09T22:53:56.717Z to 2026-09-09T22:53:56.717Z

Record version: sha256:4c687c455adb43a8cbe91b82f04f9ff7ab953c0820f84c0396b1048969654da4

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


At a minimum, an entity shall disclose all of the following when it prepares financial statements using the liquidation basis of accounting:

1.  a
    
    That the financial statements are prepared using the liquidation basis of accounting, including the facts and circumstances surrounding the adoption of the liquidation basis of accounting and the entity's determination that liquidation is imminent.
    
2.  b
    
    A description of the entity's plan for liquidation, including a description of each of the following:
    
    1.  1
        
        The manner by which it expects to dispose of its assets and other items it expects to sell that it had not previously recognized as assets (for example, trademarks)
        
    2.  2
        
        The manner by which it expects to settle its liabilities
        
    3.  3
        
        The expected date by which the entity expects to complete its liquidation.
        
3.  c
    
    The methods and significant assumptions used to measure assets and liabilities, including any subsequent changes to those methods and assumptions.
    
4.  d
    
    The type and amount of costs and income accrued in the statement of net assets in liquidation and the period over which those costs are expected to be paid or income earned.