{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/810/910/","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.","number":"810-910","topic":"810","title":"Contractors—Construction","area":"Broad Transactions","paragraphs":3,"summary":"This Subtopic addresses consolidation issues for construction contractors, principally the availability of proportionate gross presentation for investments in unincorporated entities (such as construction joint ventures) that are accounted for under the equity method. Per 810-910-45-1, referencing 810-10-45-14, proportionate gross presentation is generally prohibited for equity-method investments in unincorporated legal entities, but an exception exists when the investee operates in the construction industry (or an extractive industry). Its scope follows that of Subtopic 910-10 (see 910-10-15).","concepts":["proportionate gross presentation","equity method","unincorporated legal entity","construction joint venture","consolidation","industry exception","construction contractor"],"categories":["Consolidation","Presentation","Industry-specific","Financial statement presentation"],"level":"intermediate","topic_title":"Consolidation","sections":[{"number":"05","label":"05 Overview and Background","anchor":"05-overview-and-background","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"810-910-05-1","para":"05-1","html":"<div class=\"asc-body\"><div class=\"norm-text\">This Subtopic provides guidance on consolidation by a construction contractor.</div></div>","snippet":"This Subtopic provides guidance on consolidation by a construction 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same Scope and Scope Exceptions as outlined in the Overall Subtopic, see Section <a altsource=\"GUID-20A2FEEC-6C92-4D4C-8C63-B5F36B9E949B.ditamap\" class=\"ditamap\">910-10-15</a>.</div></div>","snippet":"This Subtopic follows the same Scope and Scope Exceptions as outlined in the Overall Subtopic, see Section 910-10-15.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:2dafd92a004faf7d6bf24288a9efeee1f9a2c7dd6a3da1fdb47ffaa4ff6bad90","downloaded_from":"2026-09-10T01:30:40.092Z","last_downloaded_at":"2026-09-10T01:30:40.092Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval 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id=\"sfr_D40D825D-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Paragraph <a href=\"/asc/810/10/#810-10-45-14\" class=\"xref\">810-10-45-14</a> explains that a proportionate gross financial statement presentation is not appropriate for an investment in an unincorporated legal entity accounted for by the equity method of accounting unless the investee is in either the construction industry (as discussed in this Topic) or an extractive industry (see paragraphs <a href=\"/asc/810/930/#810-930-45-1\" class=\"xref\">930-810-45-1</a> and <a href=\"/asc/810/932/#810-932-45-1\" class=\"xref\">932-810-45-1</a>). </span></span></div></div>","snippet":"Paragraph 810-10-45-14 explains that a proportionate gross financial statement presentation is not appropriate for an investment in an unincorporated legal entity accounted for by the equity method of accounting unless t…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:aba719ad8ce413bd7538cb778af204d2362fd648ef81778e5071a1a6257df608","downloaded_from":"2026-09-10T01:30:41.942Z","last_downloaded_at":"2026-09-10T01:30:41.942Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479246","source_sha256":"a1c87a85908b0fe56b1cf402ecaa13bce40c07f04152f55dc677e1366edff8d0"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:df2aab0752eaad05c7077c1368bf4d488b88b3e9c440bbd73104b103fd4c6226","downloaded_from":"2026-09-10T01:30:41.942Z","last_downloaded_at":"2026-09-10T01:30:41.942Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not 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equity method. Per 810-910-45-1, referencing 810-10-45-14, proportionate gross presentation is generally prohibited for equity-method investments in unincorporated legal entities, but an exception exists when the investee operates in the construction industry (or an extractive industry). Its scope follows that of Subtopic 910-10 (see 910-10-15).","key_points":["This Subtopic provides guidance on consolidation by a construction contractor (810-910-05-1).","The scope is the same as the Contractors—Construction Overall Subtopic, Section 910-10-15 (810-910-15-1).","Under 810-10-45-14, proportionate gross financial statement presentation is not appropriate for an investment in an unincorporated legal entity accounted for under the equity method, except where the investee is in the construction industry or an extractive industry (810-910-45-1).","The extractive-industry parallels to this exception are found at 930-810-45-1 (mining) and 932-810-45-1 (oil and gas) (810-910-45-1)."],"categories":["Consolidation","Presentation","Industry-specific","Financial statement presentation"],"audience_level":"intermediate","student_note":"The exam point is narrow: proportionate (pro rata) gross presentation of an equity-method investee is a rare exception limited to unincorporated construction and extractive-industry ventures. Students often wrongly assume proportionate consolidation is generally available for any jointly controlled operation, or that it applies to incorporated joint ventures.","related_topics":["810-10","910-10","930-810","932-810","323-10"],"key_concepts":["proportionate gross presentation","equity method","unincorporated legal entity","construction joint venture","consolidation","industry exception","construction contractor"],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a050eeb8f159588911aa92e22dae8a79e63ccda980e5da668bdf2e05b9893a46","downloaded_from":"2026-09-10T01:30:36.263Z","last_downloaded_at":"2026-09-10T01:30:41.942Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},"related":[{"number":"910-10","title":"Overall","topic_title":"Contractors—Construction","score":0.7643,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bafa0b759f0793e348de98fca8a57698b6e03a3eb5852b0bca5425cbba32b88c","downloaded_from":"2026-09-10T02:09:00.435Z","last_downloaded_at":"2026-09-10T02:09:30.402Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"810-932","title":"Extractive Activities—Oil and Gas","topic_title":"Consolidation","score":0.7633,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:15b5c038657527434f01cada190dc971c8adc9f7a8c2ee10fa9afb902ca8a216","downloaded_from":"2026-09-10T01:31:06.373Z","last_downloaded_at":"2026-09-10T01:31:16.096Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"810-930","title":"Extractive Activities—Mining","topic_title":"Consolidation","score":0.757,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:fee11cb942f62f7814b56d1192b7f803feda7cb85477647617eff64211d56b9b","downloaded_from":"2026-09-10T01:30:58.491Z","last_downloaded_at":"2026-09-10T01:31:02.882Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"810-946","title":"Financial Services—Investment 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