# ASC 855-10-25: Subsequent Events — Overall — 25 Recognition Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/855/10/#25-recognition) 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. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T02:04:35.335Z to 2026-09-10T02:04:35.335Z Record version: sha256:bcb30193798117d27721f9305391200cc43df6f69eeb4ff6d4cded641103334e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 855-10-25: 25 Recognition [Read section](https://asc.understandingaccounting.org/asc/855/10/#25-recognition) SEC content: no #### Recognized Subsequent Events ##### [855-10-25-1](https://asc.understandingaccounting.org/asc/855/10/#855-10-25-1) Pending content: no Source downloaded (UTC): 2026-09-10T02:04:35.335Z to 2026-09-10T02:04:35.335Z Record version: sha256:283053bd51da0e4d846a665975b172423016a71f0a3189e34b48d6c307154ce4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall recognize in the financial statements the effects of all [subsequent events](https://asc.understandingaccounting.org/glossary/s/#subsequent-events "Events or transactions that occur after the balance sheet date but before financial statements are issued or are available to be issued. There are two types of subsequent events: The first type consists of events or transactions that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements (that is, recognized subsequent events). The second type consists of events that provide evidence about conditions that did not exist at the date of the balance sheet but arose subsequent to that date (that is, nonrecognized subsequent events).") that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements. See paragraph [855-10-55-1](https://asc.understandingaccounting.org/asc/855/10/#855-10-55-1) for examples of recognized subsequent events. ##### [855-10-25-1A](https://asc.understandingaccounting.org/asc/855/10/#855-10-25-1A) Pending content: no Source downloaded (UTC): 2026-09-10T02:04:35.335Z to 2026-09-10T02:04:35.335Z Record version: sha256:7ddbacff82afdb80daf872be88f390463fdafe02f368042f6ba73a9245bb6bd8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity that meets either of the following criteria shall evaluate subsequent events through the date the financial statements are issued: 1. a It is an [SEC filer](https://asc.understandingaccounting.org/glossary/s/#securities-and-exchange-commission-sec-filer "An entity that is required to file or furnish its financial statements with either of the following: The Securities and Exchange Commission (SEC) With respect to an entity subject to Section 12(i) of the Securities Exchange Act of 1934, as amended, the appropriate agency under that Section. Financial statements for other entities that are not otherwise SEC filers whose financial statements are included in a submission by another SEC filer are not included within this definition."). 2. b It is a conduit bond obligor for [conduit debt securities](https://asc.understandingaccounting.org/glossary/c/#conduit-debt-securities "Certain limited-obligation revenue bonds, certificates of participation, or similar debt instruments issued by a state or local governmental entity for the express purpose of providing financing for a specific third party (the conduit bond obligor) that is not a part of the state or local government's financial reporting entity. Although conduit debt securities bear the name of the governmental entity that issues them, the governmental entity often has no obligation for such debt beyond the resources provided by a lease or loan agreement with the third party on whose behalf the securities are issued. Further, the conduit bond obligor is responsible for any future financial reporting requirements.") that are traded in a public market (a domestic or foreign stock exchange or an over-the-counter market, including local or regional markets). ##### [855-10-25-2](https://asc.understandingaccounting.org/asc/855/10/#855-10-25-2) Pending content: no Source downloaded (UTC): 2026-09-10T02:04:35.335Z to 2026-09-10T02:04:35.335Z Record version: sha256:558f5a12cac9f8c0556da6d06acf101b05c58d5ebdfe3373bf16568677f526d7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity that meets neither criteria in the preceding paragraph shall evaluate subsequent events through the date that the financial statements are available to be issued. #### Nonrecognized Subsequent Events ##### [855-10-25-3](https://asc.understandingaccounting.org/asc/855/10/#855-10-25-3) Pending content: no Source downloaded (UTC): 2026-09-10T02:04:35.335Z to 2026-09-10T02:04:35.335Z Record version: sha256:d08df2f5e159e72ee51733ee0701e62c48df160426bfbf0e4486ec253758c249 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall not recognize subsequent events that provide evidence about conditions that did not exist at the date of the balance sheet but arose after the balance sheet date but before [financial statements are issued](https://asc.understandingaccounting.org/glossary/f/#financial-statements-are-issued "Financial statements are considered issued when they are widely distributed to shareholders and other financial statement users for general use and reliance in a form and format that complies with GAAP. (U.S. Securities and Exchange Commission [SEC] registrants also are required to consider the guidance in paragraph 855-10-S99-2.)") or are [available to be issued](https://asc.understandingaccounting.org/glossary/f/#financial-statements-are-available-to-be-issued "Financial statements are considered available to be issued when they are complete in a form and format that complies with GAAP and all approvals necessary for issuance have been obtained, for example, from management, the board of directors, and/or significant shareholders. The process involved in creating and distributing the financial statements will vary depending on an entity's management and corporate governance structure as well as statutory and regulatory requirements."). See paragraph [855-10-55-2](https://asc.understandingaccounting.org/asc/855/10/#855-10-55-2) for examples of nonrecognized subsequent events. ##### [855-10-25-4](https://asc.understandingaccounting.org/asc/855/10/#855-10-25-4) Pending content: no Source downloaded (UTC): 2026-09-10T02:04:35.335Z to 2026-09-10T02:04:35.335Z Record version: sha256:35001892cce401e5ed5197021b1e033520b38e87c069f84e0d2a1bc68fc4fd03 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity may need to reissue financial statements, for example, in reports filed with the SEC or other regulatory agencies. After the original issuance of the financial statements, events or transactions may have occurred that require disclosure in the reissued financial statements to keep them from being misleading. An entity shall not recognize events occurring between the time the financial statements were issued or were available to be issued and the time the financial statements were reissued unless the adjustment is required by GAAP or regulatory requirements. Similarly, an entity shall not recognize events or transactions occurring after the financial statements were issued or were available to be issued in financial statements that are later reissued in comparative form along with financial statements of subsequent periods unless the adjustment meets the criteria stated in this paragraph.