{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/320/958/#35-subsequent-measurement","source":"FASB Accounting Standards Codification, Basic View","usage":"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.","topic":"320","topic_title":"Investments—Debt Securities","subtopic":"320-958","subtopic_title":"Not-for-Profit Entities","section":{"number":"35","label":"35 Subsequent Measurement","anchor":"35-subsequent-measurement","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"320-958-35-1","para":"35-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_347F3878-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">All investments in <a href=\"/glossary/d/#debt-security\" class=\"term\" title=\"Any security representing a creditor relationship with an entity. The term debt security also includes all of the following: Preferred stock that by its terms either must be redeemed by the issuing entity or is redeemable at the option of the investor A collateralized mortgage obligation (or other instrument) that is issued in equity form but is required to be accounted for as a nonequity instrument regardless of how that instrument is classified (that is, whether equity or debt) in the issuer's statement of financial position U.S. Treasury securities U.S. government agency securities Municipal securities Corporate bonds Convertible debt Commercial paper All securitized debt instruments, such as collateralized mortgage obligations and real estate mortgage investment conduits Interest-only and principal-only strips. The term debt security excludes all of the following: Option contracts Financial futures contracts Forward contracts Lease contracts Receivables that do not meet the definition of security and, so, are not debt securities, for example: Trade accounts receivable arising from sales on credit by industrial or commercial entities Loans receivable arising from consumer, commercial, and real estate lending activities of financial institutions.\"><span>debt securities</span></a> shall be measured at <a href=\"/glossary/f/#fair-value\" class=\"term\" title=\"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.\"><span>fair value</span></a> in the statement of financial position. </span></span></div></div>","snippet":"All investments in debt securities shall be measured at fair value in the statement of financial position.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:98f9a8aa7c72535a0aa24331da302ba9aa00c099f7281d9f3d1ed274f7bea1b6","downloaded_from":"2026-09-09T23:38:03.778Z","last_downloaded_at":"2026-09-09T23:38:03.778Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478743","source_sha256":"a80cb7ad8300f08da52bbb25b344ea74831f2a9e0cd3a06a98dfec9e5415b369"}},{"citation":"320-958-35-2","para":"35-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"><a href=\"/updates/asu-2016-01/\" class=\"xref\">Paragraph superseded by Accounting Standards Update No. 2016-01</a>.</div></div>","snippet":"Paragraph superseded by Accounting Standards Update No. 2016-01.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4a5125a62ce70358633b4004d927bf53a68e6a0cc6c7f8079d6ee3f5ee09061f","downloaded_from":"2026-09-09T23:38:03.778Z","last_downloaded_at":"2026-09-09T23:38:03.778Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478743","source_sha256":"a80cb7ad8300f08da52bbb25b344ea74831f2a9e0cd3a06a98dfec9e5415b369"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:424465f1725f0cbbeba2b27c41e76352e4d9e63c9dab26326b091b122771e867","downloaded_from":"2026-09-09T23:38:03.778Z","last_downloaded_at":"2026-09-09T23:38:03.778Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478743","source_sha256":"a80cb7ad8300f08da52bbb25b344ea74831f2a9e0cd3a06a98dfec9e5415b369"}},{"block":null,"heading":"Investments Held As an Agent","paragraphs":[{"citation":"320-958-35-3","para":"35-3","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_347F39A3-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">If a <a href=\"/glossary/n/#not-for-profit-entity\" class=\"term\" title=\"An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.\"><span>not-for-profit entity</span></a> (NFP) is holding an investment as an <a href=\"/glossary/a/#agent\" class=\"term\" title=\"An entity that acts for and on behalf of another. Although the term agency has a legal definition, the term is used broadly to encompass not only legal agency, but also the relationships described in Topic 958. A recipient entity acts as an agent for and on behalf of a donor if it receives assets from the donor and agrees to use those assets on behalf of or transfer those assets, the return on investment of those assets, or both to a specified beneficiary. A recipient entity acts as an agent for and on behalf of a beneficiary if it agrees to solicit assets from potential donors specifically for the beneficiary's use and to distribute those assets to the beneficiary. A recipient entity also acts as an agent if a beneficiary can compel the recipient entity to make distributions to it or on its behalf.\"><span>agent</span></a> and has little or no discretion in determining how the investment income, unrealized gains and losses, and realized gains and losses resulting from that investment will be used, those investment activities shall be reported as <a href=\"/glossary/a/#agency-transaction\" class=\"term\" title=\"A type of exchange transaction in which the reporting entity acts as an agent, trustee, or intermediary for another party that may be a donor or donee.\"><span>agency transactions</span></a> and, therefore, as changes in assets and liabilities, rather than as changes in <a href=\"/glossary/n/#net-assets\" class=\"term\" title=\"The excess or deficiency of assets over liabilities of a not-for-profit entity, which is divided into two mutually exclusive classes according to the existence or absence of donor-imposed restrictions. See Net Assets with Donor Restrictions and Net Assets without Donor Restrictions.\"><span>net assets</span></a>. </span></span></div></div>","snippet":"If a not-for-profit entity (NFP) is holding an investment as an agent and has little or no discretion in determining how the investment income, unrealized gains and losses, and realized gains and losses resulting from th…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a2903df0fe2ca1cf8b053eb54003bdfcc66ca382c898918ac099a0d7715e1025","downloaded_from":"2026-09-09T23:38:03.778Z","last_downloaded_at":"2026-09-09T23:38:03.778Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478743","source_sha256":"a80cb7ad8300f08da52bbb25b344ea74831f2a9e0cd3a06a98dfec9e5415b369"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d19df948f5ecebc92975f4311aef2353abb1a87f95cca23380a25024aad0975d","downloaded_from":"2026-09-09T23:38:03.778Z","last_downloaded_at":"2026-09-09T23:38:03.778Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478743","source_sha256":"a80cb7ad8300f08da52bbb25b344ea74831f2a9e0cd3a06a98dfec9e5415b369"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:92b7be4e7baa728cf857e38c491c4c36e1c703795d3fd02bbbe151cc8d224c7b","downloaded_from":"2026-09-09T23:38:03.778Z","last_downloaded_at":"2026-09-09T23:38:03.778Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478743","source_sha256":"a80cb7ad8300f08da52bbb25b344ea74831f2a9e0cd3a06a98dfec9e5415b369"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:92b7be4e7baa728cf857e38c491c4c36e1c703795d3fd02bbbe151cc8d224c7b","downloaded_from":"2026-09-09T23:38:03.778Z","last_downloaded_at":"2026-09-09T23:38:03.778Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478743","source_sha256":"a80cb7ad8300f08da52bbb25b344ea74831f2a9e0cd3a06a98dfec9e5415b369"}}