# ASC 310-10-30: Receivables — Overall — 30 Initial Measurement Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/310/10/#30-initial-measurement) 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): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:2e8d970bdfa4f7ebddba88ede009c768c243de31ddae1e0f95a9f7017c2cb0c5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 310-10-30: 30 Initial Measurement [Read section](https://asc.understandingaccounting.org/asc/310/10/#30-initial-measurement) SEC content: no #### Certain Receivables ##### [310-10-30-1](https://asc.understandingaccounting.org/asc/310/10/#310-10-30-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:0313672a8395ce1ebed1073f817c6a36749f561f2e7c1f3e66af6c49234181c5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following provides initial measurement guidance for certain notes receivable, specifically those exchanged for cash and those exchanged for property, goods, or services. Such notes may be originated by an entity or purchased from a third party. ##### [310-10-30-2](https://asc.understandingaccounting.org/asc/310/10/#310-10-30-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:a0b4ec56b136692516a4c0dcd6779f4e76e4e863c8b2e742af76c994d00f2a3c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. As indicated in paragraph [835-30-25-4](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-4), when a note is received solely for cash and no other right or privilege is exchanged, it is presumed to have a present value at issuance measured by the cash proceeds exchanged. If cash and some other rights or privileges are exchanged for a note, the value of the rights or privileges shall be given accounting recognition as described in paragraph [835-30-25-6](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-6). ##### [310-10-30-3](https://asc.understandingaccounting.org/asc/310/10/#310-10-30-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:ecfd47497f0a553882d410b0396139fc85b8aa8cb32e66ccf0f70666b2b324d9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. As indicated in paragraph [835-30-25-8](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-8), notes exchanged for property, goods, or services are valued and accounted for at the present value of the consideration exchanged between the contracting parties at the date of the transaction in a manner similar to that followed for a cash transaction. ##### [310-10-30-4](https://asc.understandingaccounting.org/asc/310/10/#310-10-30-4) Pending content: no Source downloaded (UTC): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:69476dd6d458ccb81f4527ecac11d2dd6fc9b4a390ed063565c318d4e285fee7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. As indicated in paragraph [835-30-25-2](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-2), if determinable, the established exchange price (which, presumably, is the same as the price for a cash sale) of property, goods, or services acquired or sold in consideration for a note may be used to establish the present value of the note. That paragraph explains that, when notes are traded in an open market, the market rate of interest and quoted prices of the notes provide the evidence of the present value. That paragraph notes that these methods are preferable means of establishing the present value of the note. ##### [310-10-30-5](https://asc.understandingaccounting.org/asc/310/10/#310-10-30-5) Pending content: no Source downloaded (UTC): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:40512cb121a3e8f8411bdbf4483401b5e2cfc5331b0a87da6900aca8ec647e45 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. As indicated in paragraph [835-30-25-10](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-10), in circumstances where interest is not stated, the stated amount is unreasonable, or the stated face amount of the note is materially different from the current cash sales price for the same or similar items or from the [fair value](https://asc.understandingaccounting.org/glossary/f/#fair-value "The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.") of the note at the date of the transaction, the note, the sales price, and the cost of the property, goods, or services exchanged for the note shall be recorded at the fair value of the property, goods, or services or at an amount that reasonably approximates the fair value of the note, whichever is the more clearly determinable. ##### [310-10-30-6](https://asc.understandingaccounting.org/asc/310/10/#310-10-30-6) Pending content: no Source downloaded (UTC): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:facd0b3062785fe7384f9f5d135d050f59d61ef63973cc45e73bf8569f3c0e69 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph [835-30-25-11](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-11) explains that, in the absence of established exchange prices for the related property, goods, or services or evidence of the fair value of the note (as described in paragraph [835-30-25-2](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-2)), the present value of a note that stipulates either no interest or a rate of interest that is clearly unreasonable shall be determined by discounting all future payments on the notes using an imputed rate of interest as described in Subtopic 835-30. Paragraph [835-30-25-11](https://asc.understandingaccounting.org/asc/835/30/#835-30-25-11) explains that this determination shall be made at the time the note is acquired; any subsequent changes in prevailing interest rates shall be ignored. #### Standby Commitments to Purchase Loans ##### [310-10-30-7](https://asc.understandingaccounting.org/asc/310/10/#310-10-30-7) Pending content: no Source downloaded (UTC): 2026-09-09T23:24:57.951Z to 2026-09-09T23:24:57.951Z Record version: sha256:1debc9e8823417c72f7e3f75d15d8fb3d450c122cc38d651881bec753f8d7a08 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If a standby commitment to purchase loans is viewed under paragraph [310-10-25-6](https://asc.understandingaccounting.org/asc/310/10/#310-10-25-6) as part of the normal production of loans, an entity shall record loans purchased under the standby commitment at cost on the settlement date, net of the standby commitment fee received, in conformity with Subtopic 310-20. If a standby commitment is accounted for as a written option as discussed in paragraph [310-10-25-6](https://asc.understandingaccounting.org/asc/310/10/#310-10-25-6), the option premium received (standby commitment fee) shall be recorded as a liability representing the fair value of the standby commitment on the trade date.