{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/440/10/#25-recognition","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":"440","topic_title":"Commitments","subtopic":"440-10","subtopic_title":"Overall","section":{"number":"25","label":"25 Recognition","anchor":"25-recognition","is_sec":false,"groups":[{"block":"Unconditional Purchase Obligations","heading":null,"paragraphs":[{"citation":"440-10-25-1","para":"25-1","html":" Depending on its terms, an unconditional purchase obligation can be subject to the guidance in Topic 842, to the guidance in Topic 815, or to neither. The guidance in Section 842-10-15 shall be applied first to determine whether an unconditional purchase obligation is within the scope of Topic 842. The guidance in Section 815-10-15 and paragraph 815-10-55-60 shall be applied to determine whether any portion of the arrangement that is not a lease is subject to Topic 815, and the guidance in Section 815-15-15 shall be applied to determine whether any lease portion of the arrangement contains an embedded derivative that is subject to the guidance in Subtopic 815-15. Pursuant to paragraphs , accrued net losses on firm purchase commitments for goods for inventory shall be recognized in the accounts.