# ASC 325-40: Investments—Other — Beneficial Interests in Securitized Financial Assets Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/325/40/) 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): 2026-09-09T23:44:27.827Z to 2026-09-09T23:44:58.835Z Record version: sha256:c4d83e957dc12aa6c2c22ad0f8ca5d979b1dfe6f56a66150173d3514244963d4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40: Investments—Other — Beneficial Interests in Securitized Financial Assets ### Machine-generated study aids ```json { "summary": "ASC 325-40 governs how a holder recognizes interest income on beneficial interests in securitized financial assets — both a transferor's retained interests in securitizations accounted for as sales under Topic 860 and purchased beneficial interests. The holder measures accretable yield at acquisition as the excess of cash flows expected to be collected (or contractual cash flows, for PCD beneficial interests) over the initial investment (or initial amortized cost basis), and accretes it into interest income using the effective yield method. Expected cash flows must be updated each period; favorable or adverse changes are run first through the credit loss guidance in Topic 326, with any residual change adjusting accretable yield prospectively.", "key_points": [ "The Subtopic applies to beneficial interests that are (or must be accounted for as) debt securities under Subtopic 320-10, involve securitized assets with contractual cash flows, and do not result in consolidation of the issuing entity; high-credit-quality interests that cannot be prepaid in a way that prevents recovery of substantially all of the recorded investment are excluded (325-40-15-3).", "A transferor's initial investment in a retained beneficial interest is the fair value at the transfer date under 860-20-30-1 (325-40-30-1), and PCD initial measurement under Subtopic 326-20 (HTM) or 326-30 (AFS) applies when there is a significant difference between contractual and expected cash flows or the interest meets the PCD definition (325-40-30-1A).", "Accretable yield is initially the excess of all cash flows expected to be collected over the initial investment; for PCD beneficial interests it is the excess of all contractual cash flows over the amortized cost basis (purchase price plus initial allowance for credit losses) (325-40-30-2).", "Accretable yield is recognized as interest income over the life of the interest using the effective yield method, and the holder must continually update its estimate of cash flows expected to be collected (325-40-35-1).", "For a favorable or adverse change in expected cash flows, the investor first applies Subtopic 326-20 (HTM) or 326-30 (AFS); any change not reflected in the allowance for credit losses causes a recalculation of accretable yield as the excess of expected cash flows over the beneficial interest's reference amount (325-40-35-4, 35-4A, 35-4B).", "Changes are identified by comparing the present value of previously projected remaining cash flows with the present value of currently expected cash flows, discounted at the current yield used to accrete the interest, and the resulting adjustment is prospective as a change in estimate under Topic 250 (325-40-35-5, 35-6, 35-4C).", "The cost recovery method must be used when a beneficial interest is on nonaccrual status or the holder cannot reliably estimate cash flows (325-40-35-16), and accretable yield is never displayed on the balance sheet (325-40-45-1)." ], "categories": [ "Financial instruments", "Subsequent measurement", "Impairment", "Initial measurement" ], "audience_level": "advanced", "student_note": "This is the income-recognition companion to the CECL rules: after ASU 2016-13, credit deterioration goes through the Topic 326 allowance first, and only leftover changes in expected cash flows reset the accretable yield — a common mistake is still treating adverse changes as a direct yield/impairment write-down in the old EITF 99-20 fashion. Note also that a beneficial interest in equity form can still be inside this Subtopic if it meets the definition of a debt security.", "related_topics": [ "860-20", "320-10", "326-20", "326-30", "815-15", "310-30" ], "key_concepts": [ "beneficial interests", "securitized financial assets", "accretable yield", "effective yield method", "cash flows expected to be collected", "purchased financial assets with credit deterioration", "reference amount", "cost recovery method" ] } ``` Source downloaded (UTC): 2026-09-09T23:44:27.827Z to 2026-09-09T23:44:27.827Z Record version: sha256:25713605f76da2cde993f46589e474fd7a3d2eabc58daefbf00c9822afa4faa9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-00: 00 Status [Read section](https://asc.understandingaccounting.org/asc/325/40/#00-status) SEC content: no ##### [325-40-00-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-00-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:27.827Z to 2026-09-09T23:44:27.827Z Record version: sha256:6f5b419b5487ea51d7e54b7a2984a5baed637ffb5289eaf3b656393046984ee3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following table identifies the changes made to this Subtopic.
ParagraphActionAccounting Standards UpdateDate
Beneficial InterestsAmendedAccounting Standards Update No. 2009-1612/23/2009
Debt Security (1st def.)AmendedAccounting Standards Update No. 2016-1912/14/2016
Financial Asset (1st def.)SupersededAccounting Standards Update No. 2016-1912/14/2016
Financial Asset (1st def.)AddedAccounting Standards Update No. 2016-1306/16/2016
Financial Asset (2nd def.)AddedAccounting Standards Update No. 2016-1912/14/2016
Purchased Financial Assets with Credit DeteriorationAmendedAccounting Standards Update No. 2016-1912/14/2016
Purchased Financial Assets with Credit DeteriorationAddedAccounting Standards Update No. 2016-1306/16/2016
325-40-05-1AmendedAccounting Standards Update No. 2009-1612/23/2009
325-40-15-2AmendedAccounting Standards Update No. 2009-1612/23/2009
325-40-15-3AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-15-4AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-15-5AmendedAccounting Standards Update No. 2012-0410/01/2012
325-40-15-6AmendedAccounting Standards Update No. 2016-0101/05/2016
325-40-25-2AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-25-2AmendedAccounting Standards Update No. 2016-0101/05/2016
325-40-30-1AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-30-1AAddedAccounting Standards Update No. 2016-1306/16/2016
325-40-30-2AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-30-4AmendedAccounting Standards Update No. 2009-1612/23/2009
325-40-35-1AmendedAccounting Standards Update No. 2025-1212/17/2025
325-40-35-2SupersededAccounting Standards Update No. 2016-1306/16/2016
325-40-35-2AmendedAccounting Standards Update No. 2016-0101/05/2016
325-40-35-3AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-4 through 35-4B
AmendedAccounting Standards Update No. 2025-1212/17/2025
325-40-35-4AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-4A through 35-4C
AddedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-6AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-6AAddedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-7AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-8SupersededAccounting Standards Update No. 2016-1306/16/2016
325-40-35-9AmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-10SupersededAccounting Standards Update No. 2025-1212/17/2025
325-40-35-10AmendedAccounting Standards Update No. 2009-1612/23/2009
325-40-35-10AAmendedAccounting Standards Update No. 2016-1306/16/2016
325-40-35-10BSupersededAccounting Standards Update No. 2016-1306/16/2016
325-40-35-11SupersededAccounting Standards Update No. 2009-1612/23/2009
325-40-35-12SupersededAccounting Standards Update No. 2009-1612/23/2009
325-40-35-13SupersededAccounting Standards Update No. 2016-1306/16/2016
325-40-35-14SupersededAccounting Standards Update No. 2016-1306/16/2016
325-40-35-14AmendedAccounting Standards Update No. 2009-1612/23/2009
325-40-35-15SupersededAccounting Standards Update No. 2009-1612/23/2009
325-40-55-1SupersededAccounting Standards Update No. 2016-1306/16/2016
325-40-55-1AmendedAccounting Standards Update No. 2015-1006/12/2015
325-40-55-2 through 55-25SupersededAccounting Standards Update No. 2009-1612/23/2009
Source downloaded (UTC): 2026-09-09T23:44:30.336Z to 2026-09-09T23:44:30.336Z Record version: sha256:8025cbf047785469f09131afa8a7ab4968eb70cfdad16f57afdc693338512982 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/325/40/#05-overview-and-background) SEC content: no ##### [325-40-05-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-05-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:30.336Z to 2026-09-09T23:44:30.336Z Record version: sha256:c63f23d3dcaa7947dacb758b217e032d21329728470ae9e43ff73393776ade60 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic addresses accounting for a transferor's interests in securitized transactions accounted for as sales (see Topic 860) and purchased [beneficial interests](https://asc.understandingaccounting.org/glossary/b/#beneficial-interests "Rights to receive all or portions of specified cash inflows received by a trust or other entity, including, but not limited to, all of the following: Senior and subordinated shares of interest, principal, or other cash inflows to be passed-through or paid-through Premiums due to guarantors Commercial paper obligations Residual interests, whether in the form of debt or equity."). Collectively, these interests are referred to in this Subtopic as beneficial interests. ##### [325-40-05-2](https://asc.understandingaccounting.org/asc/325/40/#325-40-05-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:30.336Z to 2026-09-09T23:44:30.336Z Record version: sha256:de108eb5868dd66ee4a74566070ae6378a3e577b1a3ba32f0f57bccb0a25f86e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Changes in cash flows expected to be collected might arise from prepayments, from credit concerns, from changes in interest rates, or for other reasons. ##### [325-40-05-3](https://asc.understandingaccounting.org/asc/325/40/#325-40-05-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:30.336Z to 2026-09-09T23:44:30.336Z Record version: sha256:5c215ccb4afa96a7ecc32537ba8ed9b8b8295830ac6e432f7cd5067f845dd0ad Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph not used](https://asc.understandingaccounting.org/updates/page-1833002/). Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:e47dd3909fbc701038203d69548c11a4abfa68209bbe26dfa54e073956c208f5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-15: 15 Scope and Scope Exceptions [Read section](https://asc.understandingaccounting.org/asc/325/40/#15-scope-and-scope-exceptions) SEC content: no #### Entities ##### [325-40-15-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:f6d6545d5f2508f25518500713e8901d558e640a6b592767e439de5c00d214b2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Subtopic applies to all entities. #### Instruments ##### [325-40-15-2](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:cb4a98600e989d05c8942e8ccb051c43896ae33c640bf368860f3412e2e48890 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Subtopic applies to a transferor's interests in securitization transactions that are accounted for as sales under Topic 860 and purchased [beneficial interests](https://asc.understandingaccounting.org/glossary/b/#beneficial-interests "Rights to receive all or portions of specified cash inflows received by a trust or other entity, including, but not limited to, all of the following: Senior and subordinated shares of interest, principal, or other cash inflows to be passed-through or paid-through Premiums due to guarantors Commercial paper obligations Residual interests, whether in the form of debt or equity.") in securitized financial assets. ##### [325-40-15-3](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:8d33a9eb5fcaaa0b0759ac0e49d6116b87b40ac072b7d2be60dc88e2f11857c5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Subtopic applies to beneficial interests that have all of the following characteristics: 1. a Are either debt securities under Subtopic 320-10 or required to be accounted for like debt securities under that Subtopic pursuant to paragraph [860-20-35-2](https://asc.understandingaccounting.org/asc/860/20/#860-20-35-2). 2. b Involve securitized financial assets that have contractual cash flows (for example, loans, receivables, debt securities, and guaranteed lease residuals, among other items). Thus, the guidance in this Subtopic does not apply to securitized financial assets that do not involve contractual cash flows (for example, common stock equity securities, among other items). See paragraph [320-10-35-38](https://asc.understandingaccounting.org/asc/320/10/#320-10-35-38) for guidance on beneficial interests involving securitized financial assets that do not involve contractual cash flows. 3. c Do not result in consolidation of the entity issuing the beneficial interest by the holder of the beneficial interests. 4. d [Subparagraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). 5. e Are not beneficial interests in securitized financial assets that have both of the following characteristics: 1. 1 Are of high credit quality (for example, guaranteed by the U.S. government, its agencies, or other creditworthy guarantors, and loans or securities sufficiently collateralized to ensure that the possibility of credit loss is remote) 2. 2 Cannot contractually be prepaid or otherwise settled in such a way that the holder would not recover substantially all of its recorded investment. ##### [325-40-15-4](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-4) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:0eb515d51923fa4b814011aea67575382f51f33187991af5718589177bd61f07 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on recognition of interest income on beneficial interests that have both of the characteristics described in (e) in the preceding paragraph, see Subtopic 320-10. For guidance on determining the allowance for credit losses on beneficial interests that have both of the characteristics described in (e) in the preceding paragraph (other than trading debt securities), see Topic 326 on measurement of credit losses. ##### [325-40-15-5](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-5) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:2370e314d24aef6a4211b1781e3047a2166694e7747ae17ba9a6e15ffa28d989 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A beneficial interest in securitized financial assets that is in equity form may meet the definition of a [debt security](https://asc.understandingaccounting.org/glossary/d/#debt-security "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."). For example, some beneficial interests issued in the form of equity represent solely a right to receive a stream of future cash flows to be collected under preset terms and conditions (that is, a creditor relationship), while others, according to the terms of the special-purpose entity, must be redeemed by the issuing entity or must be redeemable at the option of the investor. Consequently, those beneficial interests would be within the scope of both this Subtopic and Topic 320 because they are required to be accounted for as debt securities under that Topic. ##### [325-40-15-6](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-6) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:65a1df9542d62fb129b413f9c67f3fb27bba83d2e954a0d3a7a02d0b1437aa43 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Beneficial interests issued in the form of equity that do not meet the criteria in the preceding paragraph shall be accounted for under the applicable provisions of Subtopic 323-10, the applicable consolidation guidance (see, for example, Subtopic 810-10), or Subtopic 321-10. ##### [325-40-15-7](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-7) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:b6e5702a2a2996ba8e9631615385573d998a6f7fc217cd1afdb3c6507fb2f00f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For income recognition purposes, beneficial interests classified as trading are included in the scope of this Subtopic because it is practice for certain industries (such as banks and investment companies) to report interest income as a separate item in their income statements, even though the investments are accounted for at fair value. ##### [325-40-15-8](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-8) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:7ef1a6d0605754ab910ded2c6b1befd25a3b2132a3e14802182167cabebdec25 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Included in the scope of this Subtopic are the host contract portion of a hybrid beneficial interest that requires separate accounting for an embedded derivative under paragraphs [815-15-25-1](https://asc.understandingaccounting.org/asc/815/15/#815-15-25-1); [815-15-25-11 through 25-14](https://asc.understandingaccounting.org/asc/815/15/#815-15-25-11) ; and [815-15-25-26 through 25-29](https://asc.understandingaccounting.org/asc/815/15/#815-15-25-26) when the host contract otherwise meets the scope of this Subtopic. The issue of when and how a hybrid contract is to be separated into its component parts is an implementation issue of Topic 815 and, therefore, not within the scope of this Subtopic. ##### [325-40-15-9](https://asc.understandingaccounting.org/asc/325/40/#325-40-15-9) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:33.248Z to 2026-09-09T23:44:33.248Z Record version: sha256:633c6c362bb02f84ce0778bcb62c24f925b268f1b7ab65b8f252c5e9f67bc051 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Subtopic does not apply to hybrid beneficial interests measured at fair value pursuant to paragraphs [815-15-25-4 through 25-6](https://asc.understandingaccounting.org/asc/815/15/#815-15-25-4) for which the transferor does not report interest income as a separate item in its income statements. Source downloaded (UTC): 2026-09-09T23:44:39.151Z to 2026-09-09T23:44:39.151Z Record version: sha256:169cff9af67a4a2486f25e65e97f9a20e343cedef38709775f7eabd4d32b82bf Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-25: 25 Recognition [Read section](https://asc.understandingaccounting.org/asc/325/40/#25-recognition) SEC content: no ##### [325-40-25-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-25-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:39.151Z to 2026-09-09T23:44:39.151Z Record version: sha256:c3b5fcbcb9438957e416ca703f6bf31fd0ba3b12a5b96075fd668b8a7149d8bc Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The carrying amount of the [beneficial interest](https://asc.understandingaccounting.org/glossary/b/#beneficial-interests "Rights to receive all or portions of specified cash inflows received by a trust or other entity, including, but not limited to, all of the following: Senior and subordinated shares of interest, principal, or other cash inflows to be passed-through or paid-through Premiums due to guarantors Commercial paper obligations Residual interests, whether in the form of debt or equity.") used for purposes of measuring interest income shall be adjusted based on the application of the accounting model described in this Subtopic. ##### [325-40-25-2](https://asc.understandingaccounting.org/asc/325/40/#325-40-25-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:39.151Z to 2026-09-09T23:44:39.151Z Record version: sha256:49e7a0be0c995b90f145ea5977b4b94bf9b57195e5c4609f865b38e29b660dc0 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The difference between the carrying amount and the fair value of a beneficial interest classified as a trading debt security shall be recorded through earnings as a gain or a loss. ##### [325-40-25-3](https://asc.understandingaccounting.org/asc/325/40/#325-40-25-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:39.151Z to 2026-09-09T23:44:39.151Z Record version: sha256:7dc6c2a49b07969248f709b2dd7a37ce07849402914526b2ddbbaa51f88a1ee3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph [325-40-35-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-1) addresses how the holder shall recognize accretable yield. Source downloaded (UTC): 2026-09-09T23:44:41.675Z to 2026-09-09T23:44:41.675Z Record version: sha256:d1d25e137cf37f192db33829afba96a05b4d37b1cf48345ceae90f2854258b35 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-30: 30 Initial Measurement [Read section](https://asc.understandingaccounting.org/asc/325/40/#30-initial-measurement) SEC content: no #### Initial Investment ##### [325-40-30-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-30-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:41.675Z to 2026-09-09T23:44:41.675Z Record version: sha256:5efb8678ad9ec802e1d6fb0020f99e44f075fda8278e9edbb1b9cd13b547db26 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If the holder of the [beneficial interest](https://asc.understandingaccounting.org/glossary/b/#beneficial-interests "Rights to receive all or portions of specified cash inflows received by a trust or other entity, including, but not limited to, all of the following: Senior and subordinated shares of interest, principal, or other cash inflows to be passed-through or paid-through Premiums due to guarantors Commercial paper obligations Residual interests, whether in the form of debt or equity.") is the transferor, the initial investment would be the fair value of the beneficial interest as of the date of transfer, as required by paragraph [860-20-30-1](https://asc.understandingaccounting.org/asc/860/20/#860-20-30-1). ##### [325-40-30-1A](https://asc.understandingaccounting.org/asc/325/40/#325-40-30-1A) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:41.675Z to 2026-09-09T23:44:41.675Z Record version: sha256:e1b11e2e98370156e2e7d5a1f06716eb62dc1eb3b6bed33ecb10709dade6db9c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall apply the initial measurement guidance for [purchased financial assets with credit deterioration](https://asc.understandingaccounting.org/glossary/p/#purchased-financial-assets-with-credit-deterioration "Acquired individual financial assets (or acquired groups of financial assets with similar risk characteristics) that as of the date of acquisition have experienced a more-than-insignificant deterioration in credit quality since origination, as determined by an acquirer's assessment. See paragraph 326-20-55-5 for more information on the meaning of similar risk characteristics for assets measured on an amortized cost basis.") in Subtopic 326-20 to a beneficial interest classified as held-to-maturity and in Subtopic 326-30 to a beneficial interest classified as available for sale, if it meets either of the following conditions: 1. a There is a significant difference between contractual cash flows and expected cash flows at the date of recognition. 2. b The beneficial interests meet the definition of purchased financial assets with credit deterioration. #### Accretable Yield ##### [325-40-30-2](https://asc.understandingaccounting.org/asc/325/40/#325-40-30-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:41.675Z to 2026-09-09T23:44:41.675Z Record version: sha256:c2cad393c129272cbb2623c5ccc2b06e9d9b5b5feac48e32a54fe54d8aa8eff0 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For beneficial interests that do not apply the accounting for purchased financial assets with credit deterioration, the holder shall measure accretable yield initially as the excess of _all cash flows expected to be collected_ attributable to the beneficial interest estimated at the acquisition-transaction date (the transaction date) over the initial investment. For beneficial interests that apply the accounting for purchased financial assets with credit deterioration, the holder shall measure accretable yield initially as the excess of all contractual cash flows attributable to the beneficial interest at the acquisition-transaction date (the transaction date) over the amortized cost basis (the purchase price plus the initial allowance for credit losses). ##### [325-40-30-3](https://asc.understandingaccounting.org/asc/325/40/#325-40-30-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:41.675Z to 2026-09-09T23:44:41.675Z Record version: sha256:6f3bcbe0a0da6eacd1dd11ac861cd70945cad4745854a6eef2ffe17c65b8d94e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. At the transaction date, _all cash flows expected to be collected_ means the holder's estimate of the amount and timing of estimated future principal and interest cash flows used in determining the purchase price or the holder's fair value determination for purposes of determining a gain or loss under Topic 860. ##### [325-40-30-4](https://asc.understandingaccounting.org/asc/325/40/#325-40-30-4) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:41.675Z to 2026-09-09T23:44:41.675Z Record version: sha256:7311e28f8e2d30d2e4391b3c07a5b2e42361a0f5935021f8fd14ef290c2514c1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. See paragraph [325-40-55-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-55-1) for implementation guidance. Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:ce35ce09cc69867126623c1cc4e8fbeef477adeb5c8544a5a32125e2c291eb11 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-35: 35 Subsequent Measurement [Read section](https://asc.understandingaccounting.org/asc/325/40/#35-subsequent-measurement) SEC content: no #### Accretable Yield ##### [325-40-35-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-1) Pending content: yes Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:e5ce9ff29d16741f9b2869e21b9ce58127e0624036977b330b605851549280aa Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The holder shall recognize accretable yield as interest income over the life of the [beneficial interest](https://asc.understandingaccounting.org/glossary/b/#beneficial-interests "Rights to receive all or portions of specified cash inflows received by a trust or other entity, including, but not limited to, all of the following: Senior and subordinated shares of interest, principal, or other cash inflows to be passed-through or paid-through Premiums due to guarantors Commercial paper obligations Residual interests, whether in the form of debt or equity.") using the effective yield method. The holder of a beneficial interest shall continue to update, over the life of the beneficial interest, the expectation of cash flows to be collected. Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance: [105-10-65-10](https://asc.understandingaccounting.org/asc/105/10/#105-10-65-10)The holder shall recognize accretable yield as interest income over the life of the [beneficial interest](https://asc.understandingaccounting.org/glossary/b/#beneficial-interests "Rights to receive all or portions of specified cash inflows received by a trust or other entity, including, but not limited to, all of the following: Senior and subordinated shares of interest, principal, or other cash inflows to be passed-through or paid-through Premiums due to guarantors Commercial paper obligations Residual interests, whether in the form of debt or equity.") using the effective yield method. Under the effective yield method, the current yield is applied to the amount determined as the initial investment (or initial amortized cost basis for beneficial interests that apply the accounting for [purchased financial assets with credit deterioration](https://asc.understandingaccounting.org/glossary/p/#purchased-financial-assets-with-credit-deterioration "Acquired individual financial assets (or acquired groups of financial assets with similar risk characteristics) that as of the date of acquisition have experienced a more-than-insignificant deterioration in credit quality since origination, as determined by an acquirer's assessment. See paragraph 326-20-55-5 for more information on the meaning of similar risk characteristics for assets measured on an amortized cost basis.")) minus cash received to date minus writeoff of amortized cost basis plus the yield accreted to date. The holder of a beneficial interest shall continue to update, over the life of the beneficial interest, the expectation of cash flows to be collected. ##### [325-40-35-2](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:8c50fcc2607f5d0ff2accf8b5a26b2d4cc56cd0f1679d00efa57017cc02fdd09 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). ##### [325-40-35-3](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:d9bd270a618de73349858e1f4a445b8d57e05f8af41542a862a3b31a48a3056e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. After the transaction date, cash flows expected to be collected are defined as the holder's estimate of the amount and timing of estimated principal and interest cash flows based on the holder's best estimate of current conditions and reasonable and supportable forecasts. ##### [325-40-35-4](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-4) Pending content: yes Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:c7286eda879804faef795db5f44e502660f24f71b7e556c21bd043ef14c93fdd Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If upon evaluation of a held-to-maturity classified beneficial interest there is a favorable (or an adverse) change in cash flows expected to be collected from the cash flows previously projected, the investor shall first apply the guidance in Subtopic 326-20 on financial instruments measured at amortized cost to account for that favorable (or adverse) change. After application of the guidance in Subtopic 326-20, if the amount of the favorable (or adverse) change in cash flows expected to be collected from the cash flows previously projected is not reflected (either as an increase or as a decrease) in the allowance for credit losses in accordance with Subtopic 326-20, the investor shall recalculate the amount of accretable yield for the beneficial interest on the date of evaluation as the excess of cash flows expected to be collected over the beneficial interest's reference amount. 1. a [Subparagraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). 2. b [Subparagraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance: [105-10-65-10](https://asc.understandingaccounting.org/asc/105/10/#105-10-65-10)If upon evaluation of a held-to-maturity classified beneficial interest there is a favorable (or an adverse) change in cash flows expected to be collected from the cash flows previously projected, the investor shall first apply the guidance in Subtopic 326-20 on financial instruments measured at amortized cost to account for that favorable (or adverse) change. After application of the guidance in Subtopic 326-20, if the amount of the favorable (or adverse) change in cash flows expected to be collected from the cash flows previously projected is not reflected (either as an increase or as a decrease) in the allowance for credit losses in accordance with Subtopic 326-20, the investor shall recalculate the amount of accretable yield for the beneficial interest on the date of evaluation as the excess of cash flows expected to be collected over the beneficial interest's reference amount. The investor shall recalculate the current yield on the date of the evaluation as the rate that equates the cash flows expected to be collected to the beneficial interest’s reference amount. 1. a [Subparagraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). 2. b [Subparagraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). ##### [325-40-35-4A](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-4A) Pending content: yes Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:e230f2aff23a8d3d0dfe2e0430f8cdf47abfb960625131780f425ee205ffb1f2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If upon evaluation of an available-for-sale classified beneficial interest there is a favorable (or an adverse) change in cash flows expected to be collected from the cash flows previously projected, the investor shall apply the guidance in Subtopic 326-30 on measuring credit losses on available-for-sale debt securities to account for that favorable (or adverse) change. After application of the guidance in Subtopic 326-30, if the amount of the favorable (or adverse) change in cash flows expected to be collected from the cash flows previously projected is not reflected (either as an increase or as a decrease) in the allowance for credit losses in accordance with Subtopic 326-30, the investor shall recalculate the amount of accretable yield for the beneficial interest on the date of evaluation as the excess of cash flows expected to be collected over the beneficial interest's reference amount. Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance: [105-10-65-10](https://asc.understandingaccounting.org/asc/105/10/#105-10-65-10)If upon evaluation of an available-for-sale classified beneficial interest there is a favorable (or an adverse) change in cash flows expected to be collected from the cash flows previously projected, the investor shall apply the guidance in Subtopic 326-30 on measuring credit losses on available-for-sale debt securities to account for that favorable (or adverse) change. After application of the guidance in Subtopic 326-30, if the amount of the favorable (or adverse) change in cash flows expected to be collected from the cash flows previously projected is not reflected (either as an increase or as a decrease) in the allowance for credit losses in accordance with Subtopic 326-30, the investor shall recalculate the amount of accretable yield for the beneficial interest on the date of evaluation as the excess of cash flows expected to be collected over the beneficial interest's reference amount. The investor shall recalculate the current yield on the date of the evaluation as the rate that equates the cash flows expected to be collected to the beneficial interest’s reference amount. ##### [325-40-35-4B](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-4B) Pending content: yes Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:963e7c83b6b4cf48871efa01970b168bf8b9308cae6e1eedbeee9b1f9e4bdc63 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The reference amount in paragraphs [325-40-35-4 through 35-4A](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-4) is equal to the initial investment (or initial amortized cost basis for beneficial interests that apply the accounting for purchased financial assets with credit deterioration) minus cash received to date minus writeoff of amortized cost basis plus the yield accreted to date. Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance: [105-10-65-10](https://asc.understandingaccounting.org/asc/105/10/#105-10-65-10)The reference amount in paragraphs [325-40-35-4 through 35-4A](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-4) is equal to the initial investment (or initial amortized cost basis for beneficial interests that apply the accounting for purchased financial assets with credit deterioration) minus cash received to date minus writeoff of amortized cost basis minus the allowance for credit losses plus the yield accreted to date. ##### [325-40-35-4C](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-4C) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:eed5ea726d9b6ab12ba93278ef1dabb6980d0c4892c3b74e24986c7a4f10b6f9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In this Subtopic, a favorable (or an adverse) change in cash flows expected to be collected is considered in the context of both timing and amount of the cash flows expected to be collected. Based on cash flows expected to be collected, interest income may be recognized on a beneficial interest even if the net investment in the beneficial interest is accreted to an amount greater than the amount at which the beneficial interest could be settled if prepaid immediately in its entirety. The adjustment shall be accounted for prospectively as a change in estimate in conformity with Topic 250, with the amount of periodic accretion adjusted over the remaining life of the beneficial interest. ##### [325-40-35-5](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-5) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:73c6b25edf7c70e183ca6e28782a09081afae391d0d1a577f7bf996cdee8aaf3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Determining whether there has been a favorable (or an adverse) change in cash flows expected to be collected from the cash flows previously projected (taking into consideration both the timing and amount of the cash flows expected to be collected) involves comparing the present value of the remaining cash flows expected to be collected at the initial transaction date (or at the last date previously revised) against the present value of the cash flows expected to be collected at the current financial reporting date. ##### [325-40-35-6](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-6) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:8628df9b7cae274eba1eac3b2643e9bc2f9024a284db3c535e773fbebdd0f0a8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The cash flows, including the assessment of expected credit losses, shall be discounted at a rate equal to the current yield used to accrete the beneficial interest. #### Credit Losses ##### [325-40-35-6A](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-6A) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:513960943d8aaeddb45d311f474977bdecdde1fc7695862093c9abf8c15d685e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall account for credit losses on beneficial interests classified as held to maturity and available for sale in accordance with Topic 326. ##### [325-40-35-7](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-7) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:c772e6daf811d2d321824c3fdac3ebf2ca622b275d90ee60b97fc66bab62cdcc Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall use the present value of expected future cash flows technique to measure credit losses on beneficial interests. If the present value of the original estimate at the initial transaction date (or the last date previously revised) of cash flows expected to be collected is less than the present value of the current estimate of cash flows expected to be collected, the change is considered favorable. If the present value of the original estimate at the initial transaction date (or the last date previously revised) of cash flows expected to be collected is greater than the present value of the current estimate of cash flows expected to be collected, the change is considered adverse. ##### [325-40-35-8](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-8) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:d3342491c94d51e0e1f484b428920d73161e30a4445695e293e86b0a475e9612 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). ##### [325-40-35-9](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-9) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:91c8bd3c745290062011b23ca5bed0ee0085a43b4b157454bda91a3d3dad58b5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. However, unless the guidance in Topic 326 indicates that a credit loss has occurred, changes in the interest rate of a plain-vanilla, variable-rate beneficial interest generally should not result in the recognition and measurement of a credit loss (a plain-vanilla, variable-rate beneficial interest does not include those variable-rate beneficial interests with interest rate reset formulas that involve either leverage or an inverse floater). ##### [325-40-35-10](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-10) Pending content: yes Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:2e7c0bd4f61bb4ffe8634e7ba94dd9bcebf55969cfb164d10a1ea672b269bcb6 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. See paragraph [325-40-55-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-55-1) for implementation guidance. Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance: [105-10-65-10](https://asc.understandingaccounting.org/asc/105/10/#105-10-65-10)[Paragraph superseded by Accounting Standards Update No. 2025-12](https://asc.understandingaccounting.org/updates/asu-2025-12/). ##### [325-40-35-10A](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-10A) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:ba3dc30e9c0feddc550437faf425539750bf2a601289946130e5fb554255818e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. It is inappropriate to automatically conclude that no credit loss in a security exists because all of the scheduled payments to date have been received. However, it also is inappropriate to automatically conclude that every decline in fair value represents a credit loss. Further analysis and judgment are required to assess whether a decline in fair value is an indicator that the holder will not collect all of the contractual cash flows or cash flows expected to be collected from the security. The more severe the decline in fair value, the more persuasive the evidence that is needed to overcome the premise that the holder will not collect all of the contractual cash flows or cash flows expected to be collected from the issuer of the security. ##### [325-40-35-10B](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-10B) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:73d4e0573f00b5a46807b80650541ec9c01538d5acf6754a0b4b95b1dbec54c3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). ##### [325-40-35-10C](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-10C) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:0366e096e86a5819481a6567dd35fd238c583bf89b518223938430dc997cabd7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph not used](https://asc.understandingaccounting.org/updates/page-1833002/). ##### [325-40-35-10D](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-10D) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:b417793e946374913754350f0939e2a9a7d6819ddeb30cafdb7f0b00f0127351 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph not used](https://asc.understandingaccounting.org/updates/page-1833002/). ##### [325-40-35-11](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-11) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:172252ebb56a2442280fa31b85cb9be3c080573b18bc91533d6ef537a3d8a0e5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2009-16](https://asc.understandingaccounting.org/updates/asu-2009-16/). ##### [325-40-35-12](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-12) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:576e97f92227dae334138eaf43492fd2e12090a4d847be746dcf710fdc705f17 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2009-16](https://asc.understandingaccounting.org/updates/asu-2009-16/). ##### [325-40-35-13](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-13) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:3cbbedadcf727aa19b520173fd6832aeecec96a457f8817d92510a56e45047ee Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). ##### [325-40-35-14](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-14) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:b94d30deaaf397893c8fbeda2ae3b69e5dc3b89e952839997d85183d5b53090a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). ##### [325-40-35-15](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-15) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:0bb3403d39678f80ad5c0c4b41f5bf806fd00378f76e94064ae8c05cbcec1041 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2009-16](https://asc.understandingaccounting.org/updates/asu-2009-16/). #### Nonaccrual Status—Cash Flows Not Reliably Estimable ##### [325-40-35-16](https://asc.understandingaccounting.org/asc/325/40/#325-40-35-16) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:45.377Z to 2026-09-09T23:44:45.377Z Record version: sha256:ca75abb05565597b6408b474e3f8d0f0cf41f043b1e0c17dcc0818fe706058a7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic does not address when a holder of a beneficial interest would place that interest on nonaccrual status or when a holder cannot reliably estimate cash flows. However, for beneficial interests placed on nonaccrual status or when a holder cannot reliably estimate cash flows, the cost recovery method shall be used. Source downloaded (UTC): 2026-09-09T23:44:49.329Z to 2026-09-09T23:44:49.329Z Record version: sha256:9d43f7b2927856f2be10bc7431e91e4bda822b953ea9cf2f2beab42c2eab99ab Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-45: 45 Other Presentation Matters [Read section](https://asc.understandingaccounting.org/asc/325/40/#45-other-presentation-matters) SEC content: no ##### [325-40-45-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-45-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:49.329Z to 2026-09-09T23:44:49.329Z Record version: sha256:c44aa3512094723b77447fe6728ad4aec78720b534d4ae6c7ac2645f8db505cf Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The amount of accretable yield shall not be displayed in the balance sheet. Source downloaded (UTC): 2026-09-09T23:44:52.788Z to 2026-09-09T23:44:52.788Z Record version: sha256:fcbdd6f5ca652e86213ff9d8c0b17ad6ef69bc4fde2dcd34a0a6408f677a3052 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-55: 55 Implementation Guidance and Illustrations [Read section](https://asc.understandingaccounting.org/asc/325/40/#55-implementation-guidance-and-illustrations) SEC content: no #### Implementation Guidance ##### [325-40-55-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-55-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:52.788Z to 2026-09-09T23:44:52.788Z Record version: sha256:5b6ddc99f52c9d53b97ffc9ae5d27675942180c105d2c9a79f097ca7d65fb80f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2016-13](https://asc.understandingaccounting.org/updates/asu-2016-13/). ##### [325-40-55-2](https://asc.understandingaccounting.org/asc/325/40/#325-40-55-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:52.788Z to 2026-09-09T23:44:52.788Z Record version: sha256:cf2fdfaf8aabad1dd658ad9e2819b4ad506c5356d157891ccc9cd79acdcefe8d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraphs 325-40-55-2 through 55-25 superseded by Accounting Standards Update No. 2009-16](https://asc.understandingaccounting.org/asc/325/40/#325-40-55-2). Source downloaded (UTC): 2026-09-09T23:44:56.279Z to 2026-09-09T23:44:56.279Z Record version: sha256:80b76e9fcc419a5b7cdfd944ef315c3ceed557ed3ee62fee7db57d6e00efa1a1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 325-40-65: 65 Transition and Open Effective Date Information [Read section](https://asc.understandingaccounting.org/asc/325/40/#65-transition-and-open-effective-date-information) SEC content: no ##### [325-40-65-1](https://asc.understandingaccounting.org/asc/325/40/#325-40-65-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:44:56.279Z to 2026-09-09T23:44:56.279Z Record version: sha256:7c248bc782a01edef424f833af9cbb7865455ed65d78ca254adac0cf0bd3b43f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph superseded on 03/23/2010 after the end of the transition period stated in FSP EITF 99-20-1, _Amendments to the Impairment Guidance of EITF Issue No. 99-20_.