{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/805/20/#30-initial-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":"805","topic_title":"Business Combinations","subtopic":"805-20","subtopic_title":"Identifiable Assets and Liabilities, and Any Noncontrolling Interest","section":{"number":"30","label":"30 Initial Measurement","anchor":"30-initial-measurement","is_sec":false,"groups":[{"block":null,"heading":"Measurement Principle","paragraphs":[{"citation":"805-20-30-1","para":"30-1","html":"
The acquirer shall measure the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquiree at their acquisition-datefair values.
","snippet":"The acquirer shall measure the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquiree at their acquisition-datefair values.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5623f3548ae4e16dcffb947a0a4b76b7c888155b44ff2f8635d3489eeb1b602e","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-2","para":"30-2","html":"
Exceptions to the measurement principle are identified and their accounting treatment is addressed in paragraphs
805-20-30-10 through 30-26
.
Transition date:(P) December 16, 2028; (N) December 16, 2029Transition guidance:
832-10-65-2Exceptions to the measurement principle are identified and their accounting treatment is addressed in paragraphs
805-20-30-10 through 30-31
.
Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:
818-10-65-1Exceptions to the measurement principle are identified and their accounting treatment is addressed in paragraphs
805-20-30-10 through 30-32
.
","snippet":"Exceptions to the measurement principle are identified and their accounting treatment is addressed in paragraphs 805-20-30-10 through 30-26.Transition date:(P) December 16, 2028; (N) December 16, 2029Transition guidance:…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8fdfbbebc490d26384058f2bce5623e73b4b811ced82bd1a7d148dab50027733","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:0462c720ef00d57dca9efc4549f27ddbe48b36cefbd459d65436222c4c30b9c7","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"block":null,"heading":"Measuring the Fair Values of Particular Identifiable Assets and a Noncontrolling Interest in an Acquiree","paragraphs":[{"citation":"805-20-30-3","para":"30-3","html":"
The following guidance demonstrates the application of the measurement principle in paragraph 805-20-30-1 to specific situations in a business combination including guidance on measuring the fair values of particular identifiable assets and a noncontrolling interest in an acquiree.
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The acquirer shall not recognize a separate valuation allowance as of the acquisition date for assets acquired in a business combination that are measured at their acquisition-date fair values because the effects of uncertainty about future cash flows are included in the fair value measure, unless the assets acquired are financial assets for which the acquirer shall refer to the guidance in paragraphs
805-20-30-4A through 30-4B
.
","snippet":"The acquirer shall not recognize a separate valuation allowance as of the acquisition date for assets acquired in a business combination that are measured at their acquisition-date fair values because the effects of unce…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4e6f692a938b7ddafa4262780af0cd83fe5c1deb98767ac19dec6cb4fc2ed8ff","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-4A","para":"30-4A","html":"
For acquired financial assets that are not purchased financial assets with credit deterioration, the acquirer shall record the purchased financial assets at the acquisition-date fair value. Additionally, for these financial assets within the scope of Topic 326, an allowance shall be recorded with a corresponding charge to credit loss expense as of the reporting date.
Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance:
326-10-65-7For acquired financial assets that are not purchased financial assets with credit deteriorationor purchased seasoned loans, the acquirer shall record the acquired financial assets at the acquisition-date fair value. Additionally, for these financial assets within the scope of Topic 326, an allowance shall be recorded with a corresponding charge to credit loss expense as of the reporting date.
","snippet":"For acquired financial assets that are not purchased financial assets with credit deterioration, the acquirer shall record the purchased financial assets at the acquisition-date fair value. Additionally, for these financ…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:ba3967ea10a33a51b0fae033834f3bc8585d8e7f2441508b0e871bf4a32cb587","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-4B","para":"30-4B","html":"
For assets accounted for as purchased financial assets with credit deterioration (which includes beneficial interests that meet the criteria in paragraph 325-40-30-1A), an acquirer shall recognize an allowance in accordance with Topic 326 with a corresponding increase to the amortized cost basis of the financial asset(s) as of the acquisition date.
Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance:
326-10-65-7For assets accounted for as purchased financial assets with credit deterioration (which includes beneficial interests that meet the criteria in paragraph 325-40-30-1A) and purchased seasoned loans, an acquirer shall recognize an allowance in accordance with Topic 326 with a corresponding increase to the amortized cost basis of the financial asset(s) as of the acquisition date.
","snippet":"For assets accounted for as purchased financial assets with credit deterioration (which includes beneficial interests that meet the criteria in paragraph 325-40-30-1A), an acquirer shall recognize an allowance in accorda…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c43eb6f96049e2658121d1caab2955e90b5ef0a82e820b41f6e905e8f7943db6","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-5","para":"30-5","html":"
The acquirer shall measure the acquisition-date fair value of an asset, such as a building or a patent or other intangible asset, that is subject to an operating lease in which the acquiree is the lessor separately from the lease contract. In other words, the fair value of the asset shall be the same regardless of whether it is subject to an operating lease. In accordance with paragraph 805-20-25-12, the acquirer separately recognizes an asset or a liability if the terms of the lease are favorable or unfavorable relative to market terms.
","snippet":"The acquirer shall measure the acquisition-date fair value of an asset, such as a building or a patent or other intangible asset, that is subject to an operating lease in which the acquiree is the lessor separately from …","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:1c50bceabef32c6871ba9bd7b66445c1e702e8cf3d1318269b73e2ca02fecfbd","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-6","para":"30-6","html":"
To protect its competitive position, or for other reasons, the acquirer may intend not to use an acquired nonfinancial asset actively, or it may not intend to use the asset according to its highest and best use. For example, that might be the case for an acquired research and development intangible asset that the acquirer plans to use defensively by preventing others from using it. Nevertheless, the acquirer shall measure the fair value of the nonfinancial asset in accordance with Subtopic 820-10 assuming its highest and best use by market participants in accordance with the appropriate valuation premise, both initially and for purposes of subsequent impairment testing.
","snippet":"To protect its competitive position, or for other reasons, the acquirer may intend not to use an acquired nonfinancial asset actively, or it may not intend to use the asset according to its highest and best use. For exam…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:7c5c7870a9e8d36ae45c47a1dc81a7837ddcf74f86ae0c62aee6e8c3317ef977","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-7","para":"30-7","html":"
Paragraph 805-20-30-1 requires the acquirer to measure a noncontrolling interest in the acquiree at its fair value at the acquisition date. An acquirer sometimes will be able to measure the acquisition-date fair value of a noncontrolling interest on the basis of a quoted price in an active market for the equity shares (that is, those not held by the acquirer). In other situations, however, a quoted price in an active market for the equity shares will not be available. In those situations, the acquirer would measure the fair value of the noncontrolling interest using another valuation technique.
","snippet":"Paragraph 805-20-30-1 requires the acquirer to measure a noncontrolling interest in the acquiree at its fair value at the acquisition date. An acquirer sometimes will be able to measure the acquisition-date fair value of…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:38a4dc5c74365ef7d005998ed1c033b140e3450ef788c15792b8de34d347005f","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-8","para":"30-8","html":"
The fair values of the acquirer's interest in the acquiree and the noncontrolling interest on a per-share basis might differ. The main difference is likely to be the inclusion of a control premium in the per-share fair value of the acquirer's interest in the acquiree or, conversely, the inclusion of a discount for lack of control (also referred to as a noncontrolling interest discount) in the per-share fair value of the noncontrolling interest if market participants would take into account such a premium or discount when pricing the noncontrolling interest.
","snippet":"The fair values of the acquirer's interest in the acquiree and the noncontrolling interest on a per-share basis might differ. The main difference is likely to be the inclusion of a control premium in the per-share fair v…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:196303e94c4aeb698caf1e6eb2b88a90859fb98e4964bbc2e522e82c3465735c","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9fdcb2fb79c630d7d080ff8f0c9d37633fee4b9dd1a86df4ae1be4bbe30813ad","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"block":null,"heading":"Measurement of Assets and Liabilities Arising from Contingencies","paragraphs":[{"citation":"805-20-30-9","para":"30-9","html":"
Paragraphs 805-20-25-18A through 25-20B establish the requirements related to recognition of certain assets and liabilities arising from contingencies. Initial measurement of assets and liabilities meeting the recognition criteria in paragraph 805-20-25-19 shall be at acquisition-date fair value. Guidance on the initial measurement of other assets and liabilities from contingencies not meeting the recognition criteria of that paragraph, but meeting the criteria in paragraph 805-20-25-20 is at paragraph 805-20-30-23.
","snippet":"Paragraphs 805-20-25-18A through 25-20B establish the requirements related to recognition of certain assets and liabilities arising from contingencies. Initial measurement of assets and liabilities meeting the recognitio…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8a3a5eaec70f1dba2e5b200ccbf3ba3ef9a5749d784df17cd9473c3aec8531da","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-9A","para":"30-9A","html":"
Contingent consideration arrangements of an acquiree assumed by the acquirer in a business combination shall be measured initially at fair value in accordance with the guidance for contingent consideration arrangements in paragraph 805-30-25-5.
","snippet":"Contingent consideration arrangements of an acquiree assumed by the acquirer in a business combination shall be measured initially at fair value in accordance with the guidance for contingent consideration arrangements i…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:2b37eca3f320bebb61dc3b2174b6886d34b0882fde6aa60b570bf57a7aca6727","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5efb54564099d91bf1b033c54564749e25333ce1e66933aa5ab88570d5aa014a","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"block":null,"heading":"Exceptions to the Measurement Principle","paragraphs":[{"citation":"805-20-30-10","para":"30-10","html":"
Paragraph 805-20-25-16 notes that the Business Combinations Topic provides limited exceptions to the recognition and measurement principles applicable to business combinations. Paragraphs
805-20-30-12 through 30-30
specify the types of identifiable assets and liabilities that include items for which this Subtopic provides limited exceptions to the paragraph 805-20-30-1 measurement principle. The acquirer shall apply the specified GAAP or the specified requirements rather than that measurement principle to determine how to measure the assets or liabilities identified in paragraphs
805-20-30-12 through 30-30
. That will result in some items being measured at an amount other than their acquisition-date fair values.
Transition date:(P) December 16, 2028; (N) December 16, 2029Transition guidance:
832-10-65-2Paragraph 805-20-25-16 notes that the Business Combinations Topic provides limited exceptions to the recognition and measurement principles applicable to business combinations. Paragraphs
805-20-30-12 through 30-31
specify the types of identifiable assets and liabilities that include items for which this Subtopic provides limited exceptions to the paragraph 805-20-30-1 measurement principle. The acquirer shall apply the specified GAAP or the specified requirements rather than that measurement principle to determine how to measure the assets or liabilities identified in paragraphs
805-20-30-12 through 30-31
. That will result in some items being measured at an amount other than their acquisition-date fair values.
Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:
818-10-65-1Paragraph 805-20-25-16 notes that the Business Combinations Topic provides limited exceptions to the recognition and measurement principles applicable to business combinations. Paragraphs
805-20-30-12 through 30-32
specify the types of identifiable assets and liabilities that include items for which this Subtopic provides limited exceptions to the paragraph 805-20-30-1 measurement principle. The acquirer shall apply the specified GAAP or the specified requirements rather than that measurement principle to determine how to measure the assets or liabilities identified in paragraphs
805-20-30-12 through 30-32
. That will result in some items being measured at an amount other than their acquisition-date fair values.
","snippet":"Paragraph 805-20-25-16 notes that the Business Combinations Topic provides limited exceptions to the recognition and measurement principles applicable to business combinations. Paragraphs 805-20-30-12 through 30-30 speci…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:e65ec6edf4852f8034f13fa718e35455deb8f738630761354fb839da0c7971c7","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-11","para":"30-11","html":"
As noted in paragraph 805-20-25-17, income taxes, employee benefits, indemnification assets, leases, and contract assets and contract liabilities are also exceptions to the recognition principle in paragraph 805-20-25-1.
Transition date:(P) December 16, 2028; (N) December 16, 2029Transition guidance:
832-10-65-2As noted in paragraph 805-20-25-17, income taxes, employee benefits, indemnification assets, leases, contract assets and contract liabilities, and grants related to incomeare also exceptions to the recognition principle in paragraph 805-20-25-1.
","snippet":"As noted in paragraph 805-20-25-17, income taxes, employee benefits, indemnification assets, leases, and contract assets and contract liabilities are also exceptions to the recognition principle in paragraph 805-20-25-1.…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:7dfd4594b5de58e3bb9383a58df0b2675b4877403b2fb7cf56de4e5d7b477e10","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-12","para":"30-12","html":"
Guidance is presented on all of the following exceptions to the measurement principle:
  1. a
    Income taxes
  2. b
    Employee benefits
  3. c
    Indemnification assets
  4. d
    Reacquired rights
  5. e
    Share-based payment awards
  6. f
    Assets held for sale
  7. g
    Certain assets and liabilities arising from contingencies
  8. h
    Leases
  9. i
    Purchased financial assets with credit deterioration
  10. j
    Contract assets and contract liabilities.
Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance:
326-10-65-7Guidance is presented on all of the following exceptions to the measurement principle:
  1. a
    Income taxes
  2. b
    Employee benefits
  3. c
    Indemnification assets
  4. d
    Reacquired rights
  5. e
    Share-based payment awards
  6. f
    Assets held for sale
  7. g
    Certain assets and liabilities arising from contingencies
  8. h
    Leases
  9. i
    Purchased financial assets with credit deteriorationand purchased seasoned loans
  10. j
    Contract assets and contract liabilities.
Transition date:(P) December 16, 2028; (N) December 16, 2029Transition guidance:
832-10-65-2Guidance is presented on all of the following exceptions to the measurement principle:
  1. a
    Income taxes
  2. b
    Employee benefits
  3. c
    Indemnification assets
  4. d
    Reacquired rights
  5. e
    Share-based payment awards
  6. f
    Assets held for sale
  7. g
    Certain assets and liabilities arising from contingencies
  8. h
    Leases
  9. i
  10. j
    Contract assets and contract liabilities
  11. k
    Grants related to income.
Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:
818-10-65-1Guidance is presented on all of the following exceptions to the measurement principle:
  1. a
    Income taxes
  2. b
    Employee benefits
  3. c
    Indemnification assets
  4. d
    Reacquired rights
  5. e
    Share-based payment awards
  6. f
    Assets held for sale
  7. g
    Certain assets and liabilities arising from contingencies
  8. h
    Leases
  9. i
  10. j
    Contract assets and contract liabilities
  11. k
    Grants related to income
  12. l
    Environmental credit obligations.
","snippet":"Guidance is presented on all of the following exceptions to the measurement principle:\n(a) Income taxes\n(b) Employee benefits\n(c) Indemnification assets\n(d) Reacquired rights\n(e) Share-based payment awards\n(f) Assets hel…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4864689e2abc345c190a48a9828e4a2c228d7b48a8d3ddac10098839fbc3efa0","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-13","para":"30-13","html":"
Section 805-740-30 establishes the measurement guidance related to accounting for income taxes in a business combination.
","snippet":"Section 805-740-30 establishes the measurement guidance related to accounting for income taxes in a business combination.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bd0c3c734e9629966584642933eab2a5b678e91f23cd54d1c4decd33e1ef1cb2","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-14","para":"30-14","html":"
The acquirer shall measure a liability (or asset, if any) related to the acquiree's employee benefit arrangements in accordance with other GAAP. For example, employee benefits in the scope of the guidance identified in paragraphs
805-20-30-15 through 30-17
would be measured in accordance with that guidance and as specified in those paragraphs.
","snippet":"The acquirer shall measure a liability (or asset, if any) related to the acquiree's employee benefit arrangements in accordance with other GAAP. For example, employee benefits in the scope of the guidance identified in p…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:09c54b22c6d4ff1e42af5d5756132a4fcf709a72ccb2d6e75bdbb555952e5a30","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-15","para":"30-15","html":"
Guidance on defined benefit pension plans is presented in Subtopic 715-30. Guidance on defined benefit other postretirement plans is presented in Subtopic 715-60. Paragraphs 805-20-25-23 and 805-20-25-25 require an acquirer to recognize as part of a business combination an asset or a liability representing the funded status of a single-employer defined benefit pension or postretirement plan. In determining that funded status, the acquirer shall exclude the effects of expected plan amendments, terminations, or curtailments that at the acquisition date it has no obligation to make. The projected benefit obligation assumed shall reflect any other necessary changes in assumptions based on the acquirer's assessment of relevant future events.
","snippet":"Guidance on defined benefit pension plans is presented in Subtopic 715-30. Guidance on defined benefit other postretirement plans is presented in Subtopic 715-60. Paragraphs 805-20-25-23 and 805-20-25-25 require an acqui…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9cc5c8f65ae9a873c0470e33cdcbeaefa0e2a677dc571de9c064431b039f3f46","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-16","para":"30-16","html":"
The Settlements, Curtailments, and Certain Termination Benefits Subsection of Section 715-30-35 establishes the measurement guidance related to accounting for settlements and curtailments of defined benefit pension plans and certain termination benefits.
","snippet":"The Settlements, Curtailments, and Certain Termination Benefits Subsection of Section 715-30-35 establishes the measurement guidance related to accounting for settlements and curtailments of defined benefit pension plans…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:15745a883fffa0723f8a2af3b52ff3914e488c098653fb6297257c6585fc444c","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-17","para":"30-17","html":"
See also measurement-related guidance for the following other employee benefit arrangements:
  1. a
    One-time termination benefits in connection with exit or disposal activities. See Section 420-10-30.
  2. b
    Compensated absences. See Section 710-10-25.
  3. c
    Deferred compensation contracts. See Section 710-10-30.
  4. d
    Nonretirement postemployment benefits. See Section 712-10-25.
","snippet":"See also measurement-related guidance for the following other employee benefit arrangements:\n(a) One-time termination benefits in connection with exit or disposal activities. See Section 420-10-30.\n(b) Compensated absenc…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:cf5ffde4b4140021dd31a95a8128a65d2505d44adc398fdcebf8f91e314b858b","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-18","para":"30-18","html":"
Paragraph 805-20-25-27 requires that the acquirer recognize an indemnification asset at the same time that it recognizes the indemnified item, measured on the same basis as the indemnified item, subject to the need for a valuation allowance for uncollectible amounts. That paragraph also requires that, if the indemnification relates to an asset or a liability that is recognized at the acquisition date and measured at its acquisition-date fair value, the acquirer recognize the indemnification asset at the acquisition date measured at its acquisition-date fair value. For an indemnification asset measured at fair value, the effects of uncertainty about future cash flows because of collectibility considerations are included in the fair value measure and a separate valuation allowance is not necessary, as noted in paragraph 805-20-30-4.
","snippet":"Paragraph 805-20-25-27 requires that the acquirer recognize an indemnification asset at the same time that it recognizes the indemnified item, measured on the same basis as the indemnified item, subject to the need for a…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4720683510621062920d64e1b4fedbd3f934bf38531e3439281a904b077ece28","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-19","para":"30-19","html":"
Paragraph 805-20-25-28 states that in some circumstances, the indemnification may relate to an asset or a liability that is an exception to the recognition or measurement principles, and provides an example of an indemnification that may relate to a contingency that is not recognized at the acquisition date because it does not satisfy the criteria for recognition in paragraphs
805-20-25-18A through 25-19
at that date. Alternatively, an indemnification may relate to an asset or a liability, for example, one that results from an uncertain tax position that is measured on a basis other than acquisition-date fair value. (Paragraph 805-20-30-13 identifies the business-combination-related measurement requirements for income taxes.) Paragraph 805-20-25-28 establishes that in those circumstances, the indemnification asset shall be recognized and measured using assumptions consistent with those used to measure the indemnified item, subject to management's assessment of the collectibility of the indemnification asset and any contractual limitations on the indemnified amount.
","snippet":"Paragraph 805-20-25-28 states that in some circumstances, the indemnification may relate to an asset or a liability that is an exception to the recognition or measurement principles, and provides an example of an indemni…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:1e53b9c0172bbc75176827c9bed70858cc4f1129143a6f063546164e45642a64","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-20","para":"30-20","html":"
The acquirer shall measure the value of a reacquired right recognized as an intangible asset in accordance with paragraph 805-20-25-14 on the basis of the remaining contractual term of the related contract regardless of whether market participants would consider potential contractual renewals in determining its fair value.
","snippet":"The acquirer shall measure the value of a reacquired right recognized as an intangible asset in accordance with paragraph 805-20-25-14 on the basis of the remaining contractual term of the related contract regardless of …","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d1064e972ea4f1a574553cf879bd7cda2fa5eb2bec968139122fb5a4fa5da1df","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-21","para":"30-21","html":"
The acquirer shall measure a liability or an equity instrument related to the replacement of an acquiree's share-based payment awards with share-based payment awards of the acquirer in accordance with the method in Topic 718. The Business Combinations Topic refers to the result of that method as the fair-value-based measure of the award. Paragraphs
805-30-30-9 through 30-13
and
805-30-55-6 through 55-13
provide additional guidance.
","snippet":"The acquirer shall measure a liability or an equity instrument related to the replacement of an acquiree's share-based payment awards with share-based payment awards of the acquirer in accordance with the method in Topic…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:34dc252ea0be91c46ab5eb8752f4a1eecf090a476b13a94cfd01924276c3034c","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-22","para":"30-22","html":"
The acquirer shall measure an acquired long-lived asset (or disposal group) that is classified as held for sale at the acquisition date in accordance with Subtopic 360-10, at fair value less cost to sell in accordance with paragraphs 360-10-35-38 and 360-10-35-43.
","snippet":"The acquirer shall measure an acquired long-lived asset (or disposal group) that is classified as held for sale at the acquisition date in accordance with Subtopic 360-10, at fair value less cost to sell in accordance wi…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4dc0355adfad2325e7b2d33d667568a81057fa5f81f37f6aeee7397cd5fac646","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-23","para":"30-23","html":"
Initial measurement of assets and liabilities meeting the recognition criteria in paragraph 805-20-25-20 shall be at the amount that can be reasonably estimated by applying the guidance in Topic 450 for application of similar criteria in paragraph 450-20-25-2.
","snippet":"Initial measurement of assets and liabilities meeting the recognition criteria in paragraph 805-20-25-20 shall be at the amount that can be reasonably estimated by applying the guidance in Topic 450 for application of si…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:af56c4183aeead49d85f6dcb183e51560759cc4251bb6fb6c46c0650d4ce64b8","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-24","para":"30-24","html":"
For leases in which the acquiree is a lessee, the acquirer shall measure the lease liability at the present value of the remaining lease payments, as if the acquired lease were a new lease of the acquirer at the acquisition date. The acquirer shall measure the right-of-use asset at the same amount as the lease liability as adjusted to reflect favorable or unfavorable terms of the lease when compared with market terms.
","snippet":"For leases in which the acquiree is a lessee, the acquirer shall measure the lease liability at the present value of the remaining lease payments, as if the acquired lease were a new lease of the acquirer at the acquisit…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d1421d3650af6e839561d6854c12dbab5d2fcce17146b5249d0ea8061be56ef8","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-25","para":"30-25","html":"
For leases in which the acquiree is a lessor of a sales-type lease or a direct financing lease, the acquirer shall measure its net investment in the lease as the sum of both of the following (which will equal the fair value of the underlying asset at the acquisition date):
  1. a
    The lease receivable at the present value, discounted using the rate implicit in the lease, of the following, as if the acquired lease were a new lease at the acquisition date:
    1. 1
      The remaining lease payments
    2. 2
      The amount the lessor expects to derive from the underlying asset following the end of the lease term that is guaranteed by the lessee or any other third party unrelated to the lessor.
  2. b
    The unguaranteed residual asset as the difference between the fair value of the underlying asset at the acquisition date and the carrying amount of the lease receivable, as determined in accordance with (a), at that date.
The acquirer shall take into account the terms and conditions of the lease in calculating the acquisition-date fair value of an underlying asset that is subject to a sales-type lease or a direct financing lease by the acquiree-lessor.
","snippet":"For leases in which the acquiree is a lessor of a sales-type lease or a direct financing lease, the acquirer shall measure its net investment in the lease as the sum of both of the following (which will equal the fair va…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5678a91c784ebfdec9da4818791dee4ff82d65a0efed8caa018ea6be1e7631e4","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-26","para":"30-26","html":"
An acquirer shall recognize purchased financial assets with credit deterioration (including beneficial interests meeting the conditions in paragraph 325-40-30-1A) in accordance with Section 326-20-30 for financial instruments measured at amortized cost or Section 326-30-30 for available-for-sale debt securities. Paragraphs
326-20-55-57 through 55-78
illustrate how the guidance is applied for purchased financial assets with credit deterioration measured at amortized cost. Paragraphs
326-30-55-5 through 55-7
illustrate how the guidance is applied to available-for-sale debt securities. An acquirer shall not accrete into interest income the credit losses embedded in the purchase price for purchased financial assets with credit deterioration.
Transition date:(P) December 16, 2026; (N) December 16, 2026Transition guidance:
326-10-65-7
Editor's Note: The content of paragraph 805-20-30-26 will be amended upon transition, together with a change in the heading noted below.
> Purchased Financial Assets with Credit Deterioration and Purchased Seasoned Loans
An acquirer shall recognize purchased financial assets with credit deterioration (including beneficial interests meeting the conditions in paragraph 325-40-30-1A) and purchased seasoned loansin accordance with Section 326-20-30 for financial instruments measured at amortized cost or Section 326-30-30 for available-for-sale debt securities. Paragraphs
326-20-55-57 through 55-78
illustrate how the guidance is applied for purchased financial assets with credit deterioration measured at amortized cost. Paragraphs
326-30-55-5 through 55-7
illustrate how the guidance is applied to available-for-sale debt securities. An acquirer shall not accrete into interest income the credit losses embedded in the purchase price for purchased financial assets with credit deterioration and purchased seasoned loans.
","snippet":"An acquirer shall recognize purchased financial assets with credit deterioration (including beneficial interests meeting the conditions in paragraph 325-40-30-1A) in accordance with Section 326-20-30 for financial instru…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bfc6ff2a5c266b29bb78f86661d2dbbb992a534ef6e6fd1cb74e45b8adae522d","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-27","para":"30-27","html":"
An acquirer shall measure a contract asset or contract liability in accordance with Topic 606 on revenue from contracts with customers. This includes a contract asset or contract liability from the following:
  1. a
    Contracts with customers
  2. b
    Other contracts to which the provisions of Topic 606 apply.
","snippet":"An acquirer shall measure a contract asset or contract liability in accordance with Topic 606 on revenue from contracts with customers. This includes a contract asset or contract liability from the following:\n(a) Contrac…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:6aaf904653ee221e69326f94a50ac90e14d441bc8124db8ad7f2610b97eef95d","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-28","para":"30-28","html":"
An acquirer shall measure the contract assets and contract liabilities of the acquired contract as if the acquirer had originated the acquired contract. Topic 606 specifies when certain assessments and estimates should be made, for example, as of contract inception or on a recurring basis. At the acquisition date, the acquirer shall make those assessments as of the dates required by Topic 606.
","snippet":"An acquirer shall measure the contract assets and contract liabilities of the acquired contract as if the acquirer had originated the acquired contract. Topic 606 specifies when certain assessments and estimates should b…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:978e6631c2679313a9c887b0edf0195fbe2ee44b6d8e8a8cfc31977a25593d3a","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-29","para":"30-29","html":"
An acquirer may use one or more of the following practical expedients when applying paragraphs
805-20-30-27 through 30-28
at the acquisition date:
  1. a
    For contracts that were modified before the acquisition date, an acquirer may reflect the aggregate effect of all modifications that occur before the acquisition date when:
    1. 1
      Identifying the satisfied and unsatisfied performance obligations
    2. 2
      Determining the transaction price
    3. 3
      Allocating the transaction price to the satisfied and unsatisfied performance obligations.
  2. b
    For all contracts, for purposes of allocating the transaction price, an acquirer may determine the standalone selling price at the acquisition date (instead of the contract inception date) of each performance obligation in the contract.
","snippet":"An acquirer may use one or more of the following practical expedients when applying paragraphs 805-20-30-27 through 30-28 at the acquisition date:\n(a) For contracts that were modified before the acquisition date, an acqu…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:b74b47e4e16624fbc9d6382ea3e7fd14615a99bceb7724ffdbfb044b257a3f15","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-30","para":"30-30","html":"
For any of the practical expedients in paragraph 805-20-30-29 that an acquirer uses, the acquirer shall apply that expedient on an acquisition-by-acquisition basis. Each practical expedient that is elected shall be applied consistently to all contracts acquired in the same business combination. In addition, the acquirer shall provide the disclosures in paragraph 805-20-50-5.
","snippet":"For any of the practical expedients in paragraph 805-20-30-29 that an acquirer uses, the acquirer shall apply that expedient on an acquisition-by-acquisition basis. Each practical expedient that is elected shall be appli…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c020b6387b7d0ab246ae9506217fcfd479977636a5c858e20f3a47b773e0efca","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-31","para":"30-31","html":"
Transition date:(P) December 16, 2028; (N) December 16, 2029Transition guidance:
832-10-65-2Deferred income recognized in accordance with paragraph 805-20-25-28D shall be measured in accordance with Topic 832 on government grants at the acquisition date.
","snippet":"Transition date:(P) December 16, 2028; (N) December 16, 2029Transition guidance:832-10-65-2Deferred income recognized in accordance with paragraph 805-20-25-28D shall be measured in accordance with Topic 832 on governmen…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d93090b2a7e831c57216f726403a4166fb3e370b896e95c51bc7510a7755d760","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},{"citation":"805-20-30-32","para":"30-32","html":"
Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:
818-10-65-1An acquirer shall measure an environmental credit obligation liability assumed in a business combination in accordance with the initial measurement requirements of Topic 818. Paragraph 818-30-30-1 specifies that an environmental credit obligation liability may have a funded portion and an unfunded portion. When measuring the funded portion in accordance with paragraph 818-30-30-2, an acquirer shall consider only environmental credits acquired in the business combination that will be classified as compliance environmental credits. If applicable, the unfunded portion of an environmental credit obligation liability measured in accordance with paragraph 818-30-30-3(b) shall consider only the acquiree’s existing purchase commitments and unconditional rights.
","snippet":"Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:818-10-65-1An acquirer shall measure an environmental credit obligation liability assumed in a business combination in accordance with the i…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:79ccb721b8db3eeb4edef8de2ee7a6691d66add91c5440f59f90828f2402f376","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d0cfa9ba6832905ff25055e6181eae7707dfd148ef1aaf3697268f457ee044c9","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bad641db13390b16587172188958ab44fa26be0a05454f9197d29f8b30d8de8e","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bad641db13390b16587172188958ab44fa26be0a05454f9197d29f8b30d8de8e","downloaded_from":"2026-09-10T01:23:23.165Z","last_downloaded_at":"2026-09-10T01:23:23.165Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479994","source_sha256":"0c6426f31c0c2eb2dc82cb1aa19da44a065da3cba46639a05a5483f52769d0dc"}}