# ASC 350-922-35: Intangibles—Goodwill and Other — Entertainment—Cable Television — 35 Subsequent Measurement Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/350/922/#35-subsequent-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): 2026-09-10T00:04:35.098Z to 2026-09-10T00:04:35.098Z Record version: sha256:47fee01021da99c828898ae93d2621cde93d03e49d02f57605cd142acb89ce9f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922-35: 35 Subsequent Measurement [Read section](https://asc.understandingaccounting.org/asc/350/922/#35-subsequent-measurement) SEC content: no #### Amortization During the Prematurity Period ##### [350-922-35-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-35-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:35.098Z to 2026-09-10T00:04:35.098Z Record version: sha256:d84f5135cc27d51c71b15d971414596d360d672afe1e36d35b59843ef90cddb0 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. During the [prematurity period](https://asc.understandingaccounting.org/glossary/p/#prematurity-period "During the prematurity period, the cable television system is partially under construction and partially in service. The prematurity period begins when revenue from the first subscriber is recognized in accordance with Topic 606 on revenue from contracts with customers.Its end will vary with circumstances of the system but will be determined based on plans for completion of the first major construction period or achievement of a specified predetermined subscriber level at which no additional investment will be required for other than cable television plant. The construction period of a cable television system varies with the size of the franchise area, density of population, and difficulty of physical construction. The construction period is not completed until the head-end, main cable, and distribution cables are installed, and includes a reasonable time to provide for installation of subscriber drops and related hardware. During the construction period, many system operators complete installation of drops and begin to provide service to some subscribers in some parts of the system while construction continues. Providing the signal for the first time is referred to as energizing the system. The length of the prematurity period varies with the franchise development and construction plans. Such plans may consist of any of the following: Small franchise that is characterized by the absence of free television signal and a short construction period. The entire system is energized at one time near the end of the construction period. Medium-size franchise that is characterized by some direct competition from free television and by a more extensive geographical franchise area lending itself to incremental construction. Some parts of the system are energized as construction progresses. Large metropolitan franchise that is characterized by heavy direct competition from free television and fringe area signal inadequacy, high cost, and difficult construction. Many parts of the system are energized as construction progresses. Except in the smallest systems, programming is usually delivered to portions of the system and some revenues are obtained before construction of the entire system is complete. Thus, virtually every cable television system experiences a prematurity period during which it is receiving some revenue while continuing to incur substantial costs related to the establishment of the total system."), amortization expense shall be determined by multiplying the monthly amortization of total capitalized costs expected on completion of the prematurity period by the same fraction described in paragraph [922-360-35-3](https://asc.understandingaccounting.org/asc/360/922/#360-922-35-3), using the amortization method that will be applied by the entity after the prematurity period. #### Amortization of Capitalized Costs ##### [350-922-35-2](https://asc.understandingaccounting.org/asc/350/922/#350-922-35-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:35.098Z to 2026-09-10T00:04:35.098Z Record version: sha256:e936157732873f4c0ff4c7d1695ad4314a8b55d3eb8467f655392ec958198afa Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Costs that have been capitalized in accordance with paragraph [922-350-25-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-25-1) shall be amortized over the same period used to depreciate the main [cable television plant](https://asc.understandingaccounting.org/glossary/c/#cable-television-plant "The cable television plant required to render service to the subscriber includes the following equipment: Head-end. This includes the equipment used to receive signals of distant television or radio stations, whether directly from the transmitter or from a microwave relay system. It also includes the studio facilities required for operator-originated programming, if any. Cable. This consists of cable and amplifiers (which maintain the quality of the signal) covering the subscriber area, either on utility poles or underground. Drops. These consist of the hardware that provides access to the main cable, the short length of cable that brings the signal from the main cable to the subscriber's television set, and other associated hardware, which may include a trap to block particular channels. Converters and descramblers. These devices are attached to the subscriber's television sets when more than 12 channels are provided or when special services are provided, such as pay cable or 2-way communication."). #### Recoverability ##### [350-922-35-3](https://asc.understandingaccounting.org/asc/350/922/#350-922-35-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:35.098Z to 2026-09-10T00:04:35.098Z Record version: sha256:f259c0bcc8e9019e4dd6c9198b39e210e7e737c00f40f8f0097e23bcf635d863 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Certain intangible assets are subject to the provisions of Topic 360. Other intangible assets are subject to the provisions of Topic 350. Capitalization of costs shall not cease when the total cost reaches an amount that is not fully recoverable. Capitalization of costs shall continue, and the provision required to reduce capitalized costs to recoverable value shall be increased. #### Franchise Application Costs ##### [350-922-35-4](https://asc.understandingaccounting.org/asc/350/922/#350-922-35-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:35.098Z to 2026-09-10T00:04:35.098Z Record version: sha256:2c5c1d00cb99e15a46ad75f76fd40bdfd5a188cd7c85c521d35125b48794de9b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Costs of successful franchise applications capitalized under paragraph [922-350-25-3](https://asc.understandingaccounting.org/asc/350/922/#350-922-25-3) shall be amortized in accordance with the provisions of Topic 350.