# ASC 350-922: Intangibles—Goodwill and Other — Entertainment—Cable Television Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/350/922/) 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): 2026-09-10T00:04:18.369Z to 2026-09-10T00:04:37.790Z Record version: sha256:e8a30953c3dceec83cbd31f8df867e97512ba4bf87036c192ae66c0bf4c02c52 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922: Intangibles—Goodwill and Other — Entertainment—Cable Television ### Machine-generated study aids ```json { "summary": "This Subtopic governs intangible-type costs incurred by cable television systems, principally programming and other system costs during the \"prematurity period\" and franchise application costs. During the prematurity period, fixed system costs incurred in anticipation of a fully operating system are split between current operations (expensed) and future operations (capitalized) using the subscriber-based fraction in 922-360-35-3, and amortization is computed using that same fraction. Costs of successful franchise applications are capitalized and amortized under Topic 350, while unsuccessful or abandoned franchise costs are expensed.", "key_points": [ "During the prematurity period, programming and other system costs incurred in anticipation of a fully operating system that do not vary significantly with subscriber count are allocated between current and future operations; the current portion is expensed and the remainder capitalized (350-922-25-1).", "The amount expensed currently equals the month's total of such costs multiplied by the fraction described in paragraph 922-360-35-3; covered costs include property taxes, pole/underground duct/antenna site/microwave rental based on a fully operating system, and local origination programming required by the franchise (350-922-25-1).", "Prematurity-period amortization expense equals the monthly amortization of total capitalized costs expected at completion of the prematurity period multiplied by the same 922-360-35-3 fraction, using the post-prematurity amortization method (350-922-35-1).", "Costs capitalized under paragraph 922-350-25-1 are amortized over the same period used to depreciate the main cable television plant (350-922-35-2).", "Capitalization does not stop when total cost exceeds a recoverable amount; capitalization continues and the provision reducing capitalized costs to recoverable value is increased (350-922-35-3).", "Costs of successful franchise applications are capitalized (350-922-25-3) and amortized under Topic 350 (350-922-35-4), while costs of unsuccessful applications and abandoned franchises are charged to expense (350-922-40-1, 922-720-25-4).", "Interest costs during the prematurity period are capitalized as provided in paragraph 922-835-25-1 (350-922-25-2)." ], "categories": [ "Industry-specific", "Recognition", "Subsequent measurement", "Intangibles and goodwill" ], "audience_level": "intermediate", "student_note": "This is narrow industry guidance, but it illustrates a rare rule: capitalization continues even when costs exceed recoverable value, with a valuation provision instead. A common misunderstanding is thinking all franchise costs are capitalized — only successful applications qualify; unsuccessful and abandoned ones are expensed.", "related_topics": [ "922-10", "922-360", "922-720", "922-835", "350", "360" ], "key_concepts": [ "prematurity period", "programming costs", "franchise application costs", "cost allocation fraction", "capitalization and amortization", "recoverable value provision", "cable television plant" ] } ``` Source downloaded (UTC): 2026-09-10T00:04:18.369Z to 2026-09-10T00:04:18.369Z Record version: sha256:ede46465ff4e28fcac73f52cc9948937e49be596077e3bb0e44ac8946d42d40e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922-00: 00 Status [Read section](https://asc.understandingaccounting.org/asc/350/922/#00-status) SEC content: no ##### [350-922-00-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-00-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:18.369Z to 2026-09-10T00:04:18.369Z Record version: sha256:90d5a18659ba0bb062135f05e26c956c2ed4aee5c9faa87ebd9b35ca1bc6457f 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
922-350-30-1AmendedAccounting Standards Update No. 2009-0207/01/2009
Source downloaded (UTC): 2026-09-10T00:04:21.297Z to 2026-09-10T00:04:21.297Z Record version: sha256:4bea1c8248cbd2b9e2bf560ee5a0eafcb43dc0cf8965c3498b1a664a760a2df4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/350/922/#05-overview-and-background) SEC content: no ##### [350-922-05-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-05-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:21.297Z to 2026-09-10T00:04:21.297Z Record version: sha256:fd28c19769e816e3ba961820c95a927157ae3e8996a16171c0b3afae8ee9976e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic provides guidance for various intangible costs incurred by entities in the cable television industry, such as programming costs and franchise application costs. Source downloaded (UTC): 2026-09-10T00:04:25.054Z to 2026-09-10T00:04:25.054Z Record version: sha256:73c7ae21de3dc8c2cfd694b69aeb8afffce8083cdca6ee6886e3709acdbfdd88 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922-15: 15 Scope and Scope Exceptions [Read section](https://asc.understandingaccounting.org/asc/350/922/#15-scope-and-scope-exceptions) SEC content: no #### Overall Guidance ##### [350-922-15-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-15-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:25.054Z to 2026-09-10T00:04:25.054Z Record version: sha256:aef90720f591aa1e6523d99c5e88c315926d8260c26b6c8d9ea074abb7cc8382 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic follows the same Scope and Scope Exceptions as outlined in the Overall Subtopic, see Section 922-10-15. Source downloaded (UTC): 2026-09-10T00:04:30.728Z to 2026-09-10T00:04:30.728Z Record version: sha256:e45d65c9c69f92d9b1540555cd7d1c644872cbed6c8b2f26e3dabce5877e0dfb Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922-25: 25 Recognition [Read section](https://asc.understandingaccounting.org/asc/350/922/#25-recognition) SEC content: no #### Prematurity Period—Programming and Other System Costs ##### [350-922-25-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-25-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:30.728Z to 2026-09-10T00:04:30.728Z Record version: sha256:1105f983c6d38ad7781a2451ad56f481834535fdf8ac668df8dec5d13caa9d27 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."), programming costs and other system costs that are incurred in anticipation of servicing a fully operating system and that will not vary significantly regardless of the number of subscribers shall be allocated between current and future operations. The proportion attributable to current operations shall be expensed currently and the remainder shall be capitalized. The amount to be expensed currently shall be determined by multiplying the total of such costs for the month by the fraction determined for that month as described in paragraph [922-360-35-3](https://asc.understandingaccounting.org/asc/360/922/#360-922-35-3). Those costs include property taxes based on valuation as a fully operating system; pole, underground duct, antenna site, and microwave rental based on rental costs for a fully operating system; and local origination programming to satisfy franchise requirements. ##### [350-922-25-2](https://asc.understandingaccounting.org/asc/350/922/#350-922-25-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:30.728Z to 2026-09-10T00:04:30.728Z Record version: sha256:bcd427aea0b391016af2874a9328ceaaec19095324f9704ce2e5d84e0c7c16b3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Refer to paragraph [922-835-25-1](https://asc.understandingaccounting.org/asc/835/922/#835-922-25-1) concerning the capitalization of interest costs during the prematurity period. #### Franchise Application Costs ##### [350-922-25-3](https://asc.understandingaccounting.org/asc/350/922/#350-922-25-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:30.728Z to 2026-09-10T00:04:30.728Z Record version: sha256:a17e541b504b3a1a66bf7744e3ca9bd9d40e905394796c2e79d9b2ec2d4d1880 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Costs of successful franchise applications shall be capitalized. Source downloaded (UTC): 2026-09-10T00:04:32.598Z to 2026-09-10T00:04:32.598Z Record version: sha256:9fcf67379fa028aa907305f656fa79bfe8a40fc7ada1df952d679202fbb4d11b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922-30: 30 Initial Measurement [Read section](https://asc.understandingaccounting.org/asc/350/922/#30-initial-measurement) SEC content: no ##### [350-922-30-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-30-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:32.598Z to 2026-09-10T00:04:32.598Z Record version: sha256:7e4ceac24210ba9ec1bd93335049d2b6225f1910bdb46b3e5e229a79f6c57608 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): 2026-09-10T00:04:35.098Z 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. Source downloaded (UTC): 2026-09-10T00:04:37.790Z to 2026-09-10T00:04:37.790Z Record version: sha256:80b3ca00a6aa3d621aa2eeef7905e765874a7211ffa52ac52c362840e53d67c2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 350-922-40: 40 Derecognition [Read section](https://asc.understandingaccounting.org/asc/350/922/#40-derecognition) SEC content: no #### Unsuccessful Franchise Applications and Abandoned Franchises ##### [350-922-40-1](https://asc.understandingaccounting.org/asc/350/922/#350-922-40-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:04:37.790Z to 2026-09-10T00:04:37.790Z Record version: sha256:81965a7c51b404669b527f2506726b4da15967ec4b5a3ee95edd8924d959c861 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. As indicated in paragraph [922-720-25-4](https://asc.understandingaccounting.org/asc/720/922/#720-922-25-4), costs of unsuccessful franchise applications and abandoned franchises shall be charged to expense.