{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/360/922/#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":"360","topic_title":"Property, Plant, and Equipment","subtopic":"360-922","subtopic_title":"Entertainment—Cable Television","section":{"number":"35","label":"35 Subsequent Measurement","anchor":"35-subsequent-measurement","is_sec":false,"groups":[{"block":null,"heading":"Prematurity Period","paragraphs":[{"citation":"360-922-35-1","para":"35-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_DCF3E9FD-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"> For capitalizable costs identified for the portion of a cable television system that is in the prematurity period, </span></span><span class=\"sfragment\" id=\"sfr_DCF3EB1A-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">separate projections for the portion shall be developed and the portion's capitalized costs shall be evaluated separately during the <a href=\"/glossary/p/#prematurity-period\" class=\"term\" title=\"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.\"><span>prematurity period</span></a> for recoverability (see paragraph <a href=\"/asc/360/922/#360-922-35-4\" class=\"xref\">922-360-35-4</a>). </span></span></div></div>","snippet":"For capitalizable costs identified for the portion of a cable television system that is in the prematurity period, separate projections for the portion shall be developed and the portion's capitalized costs shall be eval…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5d6016c7c8df5804d2235d65bfff34d967a640b0dc12b6dfbf8b7160da07cbcf","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a75510d9f5956674594ac88bd469d030f6c651363d9b1fe10b45ffb33a6f010e","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}},{"block":null,"heading":"Depreciation Expense","paragraphs":[{"citation":"360-922-35-2","para":"35-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_DCF3EC01-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">During the prematurity period, depreciation expense shall be determined by multiplying </span></span><span class=\"sfragment\" id=\"sfr_DCF3ECE8-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"> the monthly depreciation of total capitalized costs expected on completion of the prematurity period by </span></span><span class=\"sfragment\" id=\"sfr_DCF3EDBE-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"> the fraction described in the following paragraph, using the depreciation method that will be applied by the entity after the prematurity period. </span></span></div></div>","snippet":"During the prematurity period, depreciation expense shall be determined by multiplying the monthly depreciation of total capitalized costs expected on completion of the prematurity period by the fraction described in the…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:434de9779842d26d3b45ac536ff188ab47fb564e31da2839ab030cc0b59e7095","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}},{"citation":"360-922-35-3","para":"35-3","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_DCF3EEA2-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The following fraction shall be determined each month of the prematurity period. The denominator of the fraction shall be the total number of subscribers expected at the end of the prematurity period. The numerator of the fraction shall be the greatest of the following: </span></span><ol class=\"ol-norm\"><li class=\"li-norm\"><span class=\"linum\">a</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_DCF3EF73-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The average number of subscribers expected that month as estimated at the beginning of the prematurity period </span></span></div></li><li class=\"li-norm\"><span class=\"linum\">b</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_DCF3F047-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The average number of subscribers that would be attained using at least equal (that is, straight-line) monthly progress in adding new subscribers towards the estimate of subscribers at the end of the prematurity period </span></span></div></li><li class=\"li-norm\"><span class=\"linum\">c</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_DCF3F112-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The average number of actual subscribers. </span></span></div></li></ol>This fraction also is to be used to allocate programming costs and other system costs between current and future operations, as discussed in paragraph <a href=\"/asc/350/922/#350-922-25-1\" class=\"xref\">922-350-25-1</a>.</div></div>","snippet":"The following fraction shall be determined each month of the prematurity period. The denominator of the fraction shall be the total number of subscribers expected at the end of the prematurity period. The numerator of th…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:6ede563f993485d3aab26108f86c9ebbd03248a7ea7f283332357b0456da7457","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:107ce561542c853e0edd1c1fb18fdb5af2fc3c15a4dd7b4d7ebdf1bcbeab1e3a","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}},{"block":null,"heading":"Recoverability","paragraphs":[{"citation":"360-922-35-4","para":"35-4","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_DCF3F1E8-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Capitalized plant is subject to the provisions of Topic <a altsource=\"GUID-847FF5CA-00CD-4A53-B142-BD0FF040062C.ditamap\" class=\"ditamap\">360</a>. </span></span><span class=\"sfragment\" id=\"sfr_DCF3F2DB-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">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. </span></span></div></div>","snippet":"Capitalized plant is subject to the provisions of Topic 360. 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 pr…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c87bf08c8304a66399c9e4294e526719a79346543f9fc6b2136c661e61fb2338","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:dfc28ff6ab9928731667413b9f8845e9c5f3e83c57081f5d9ba16675d3833357","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}},{"block":null,"heading":"Subscriber Installation Costs","paragraphs":[{"citation":"360-922-35-5","para":"35-5","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_DCF3F3F4-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Initial subscriber installation costs capitalized under paragraph <a href=\"/asc/360/922/#360-922-25-7\" class=\"xref\">922-360-25-7</a> </span></span><span class=\"sfragment\" id=\"sfr_DCF3F505-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">shall be depreciated over a period no longer than the depreciation period used for cable television plant. </span></span></div></div>","snippet":"Initial subscriber installation costs capitalized under paragraph 922-360-25-7 shall be depreciated over a period no longer than the depreciation period used for cable television plant.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a867eeed1c78d49442303396ac3069f2183df8bb013b62700f1d459d920c2556","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bb2e40f211ac640cb5c634ae70d13840a869fc5a9c2216029652b88a282eb6b2","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:062967129b0bf00b40e6593b44d637eb3c461967e513ec40d1f6bc0f40c1179d","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:062967129b0bf00b40e6593b44d637eb3c461967e513ec40d1f6bc0f40c1179d","downloaded_from":"2026-09-10T00:08:28.839Z","last_downloaded_at":"2026-09-10T00:08:28.839Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147478286","source_sha256":"a64a5d5d219b472c5b1fc5cc34a65aef35144e3ccfccffd30a6ba158d1cb7352"}}