ASC 840-978
Real Estate—Time-Sharing Activities
840 Leases
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ASC 840-978 was the intersection subtopic applying the old lease accounting model (Topic 840) to real estate time-sharing activities (Topic 978). Every paragraph in its Overview, Scope, and Recognition sections has been superseded by ASU 2016-02, the standard that replaced Topic 840 with Topic 842. As a result, the subtopic contains no remaining substantive guidance.
Key points (5)
- All content in this subtopic — 840-978-05-1, 840-978-15-1, 840-978-25-1, and 840-978-25-2 — was superseded by Accounting Standards Update No. 2016-02.
- Because Topic 840 itself was superseded by ASU 2016-02, lease accounting for time-sharing arrangements is now addressed under Topic 842 (Leases) rather than here.
- No recognition, measurement, presentation, or disclosure requirements remain in ASC 840-978; the shell exists only to preserve the Codification's numbering and cross-reference history.
- Entities still applying legacy GAAP for pre-transition comparative periods would need the superseded 840-978 text as it read before ASU 2016-02, not the current empty sections.
- Time-share interval sales and related revenue continue to be governed by Topic 978 and, for revenue recognition, Topic 606.
For students. This subtopic is a dead letter — its only exam-relevant fact is that ASU 2016-02 wiped it out along with the rest of Topic 840. The common mistake is citing 840-978 as live authority for time-share leasing; go to Topic 842 for the lease model and Topic 978/606 for time-share revenue.
Machine-generated study aid for ASC 840-978. Check the source paragraphs below.
840-978-00Status
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| Paragraph | Action | Accounting Standards Update | Date |
| Contract-for-Deed | Superseded | Accounting Standards Update No. 2016-02 | 02/25/2016 |
| Tenancy-for-Years | Superseded | Accounting Standards Update No. 2016-02 | 02/25/2016 |
| Time-Sharing | Superseded | Accounting Standards Update No. 2016-02 | 02/25/2016 |
| Time-Sharing | Amended | Accounting Standards Update No. 2014-06 | 03/14/2014 |
| Undivided Interest (2nd def.) | Superseded | Accounting Standards Update No. 2014-06 | 03/14/2014 |
| 978-840-05-1 | Superseded | Accounting Standards Update No. 2016-02 | 02/25/2016 |
| 978-840-15-1 | Superseded | Accounting Standards Update No. 2016-02 | 02/25/2016 |
| 978-840-25-1 | Superseded | Accounting Standards Update No. 2016-02 | 02/25/2016 |
| 978-840-25-1 | Amended | Accounting Standards Update No. 2014-09 | 05/28/2014 |
| 978-840-25-2 | Superseded | Accounting Standards Update No. 2016-02 | 02/25/2016 |
840-978-05Overview and Background
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840-978-15Scope and Scope Exceptions
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Overall Guidance
840-978-25Recognition
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