ASC

ASC 205-915

Development Stage Entities

205 Presentation of Financial Statements

Download JSONDownload Markdown9 paragraphs · 5 sectionsJump to summary

Source downloaded: .Record version c66371ec36f7. Effective date must be checked in the source.

In brief

IntroductoryPresentationFinancial statement presentationTransition and effective dates

ASC 205-915 formerly contained the presentation requirements for development stage entities (inception-to-date cumulative amounts in the income statement, cash flow statement, and equity statement, plus identification of the entity as development stage). Every paragraph in Sections 05, 15, and 45 was superseded by ASU 2014-10, so the subtopic now imposes no requirements. Entities that would once have been development stage entities simply follow the ordinary presentation guidance in ASC 205 and elsewhere in GAAP.

Key points (5)
  • All content of this subtopic — overview (205-915-05-1), scope (205-915-15-1), and other presentation matters (205-915-45-1 through 45-6) — was superseded by Accounting Standards Update No. 2014-10.
  • As a result, there is no longer any requirement to label an entity as a development stage entity or to present inception-to-date cumulative amounts in the income statement, statement of cash flows, or statement of stockholders' equity.
  • Entities formerly within the development stage entity classification now apply the same presentation guidance as any other reporting entity under ASC 205 and related topics.
  • The subtopic is retained in the Codification only as a record of superseded paragraphs; citing it as authoritative support for current financial statements is incorrect.
  • Effective date and transition for the elimination of this guidance are governed by ASU 2014-10 rather than by any remaining text in 205-915.

For students. Exam trap: candidates still remember the old "cumulative amounts since inception" columns for development stage entities — ASU 2014-10 deleted that entire regime, so start-ups and pre-revenue companies now present financial statements like everyone else. The subtopic survives in the Codification only as superseded shells.

development stage entitysuperseded guidanceinception-to-date informationfinancial statement presentationsimplification of gaap

Machine-generated study aid for ASC 205-915. Check the source paragraphs below.

205-915-00Status

Source downloaded: .Record version bbb6c7c2ac50. Effective date must be checked in the source.

205-915-00-1
The following table identifies the changes made to this Subtopic.
Paragraph Action Accounting Standards Update Date
Development Stage Entity Superseded Accounting Standards Update No. 2014-10 06/10/2014
915-205-05-1 Superseded Accounting Standards Update No. 2014-10 06/10/2014
915-205-15-1 Superseded Accounting Standards Update No. 2014-10 06/10/2014
915-205-45-1 through 45-6
 Superseded Accounting Standards Update No. 2014-10 06/10/2014

205-915-05Overview and Background

Source downloaded: .Record version 34985027c4d3. Effective date must be checked in the source.

205-915-15Scope and Scope Exceptions

Source downloaded: .Record version 914add5422e2. Effective date must be checked in the source.

205-915-20Glossary

Source downloaded: .Record version bf80daccfc71. Effective date must be checked in the source.

205-915-45Other Presentation Matters

Source downloaded: .Record version 6b2dde18bc5a. Effective date must be checked in the source.

Related subtopics