{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/962/40/#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":"962","topic_title":"Plan Accounting—Defined Contribution Pension Plans","subtopic":"962-40","subtopic_title":"Terminating Plans","section":{"number":"25","label":"25 Recognition","anchor":"25-recognition","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"962-40-25-1","para":"25-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_1FA8741E-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">If the <a href=\"/glossary/l/#liquidation\" class=\"term\" title=\"The process by which an entity converts its assets to cash or other assets and settles its obligations with creditors in anticipation of the entity ceasing all activities. Upon cessation of the entity's activities, any remaining cash or other assets are distributed to the entity's investors or other claimants (albeit sometimes indirectly). Liquidation may be compulsory or voluntary. Dissolution of an entity as a result of that entity being acquired by another entity or merged into another entity in its entirety and with the expectation of continuing its business does not qualify as liquidation.\"><span>liquidation</span></a> of a plan is deemed to be imminent (as defined in paragraph <a href=\"/asc/205/30/#205-30-25-2\" class=\"xref\">205-30-25-2</a>) before the end of the plan year, the plan's year-end financial statements shall be prepared using the liquidation basis of accounting in accordance with Subtopic <a altsource=\"GUID-F0CE4D19-6B2D-4FC1-8D41-8831E94834AC.ditamap\" class=\"ditamap\">205-30</a>. </span></span></div></div>","snippet":"If the liquidation of a plan is deemed to be imminent (as defined in paragraph 205-30-25-2) before the end of the plan year, the plan's year-end financial statements shall be prepared using the liquidation basis of accou…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:cbe038aadf80639fb7c586f959f70d26f09fd7f92b4a711f35021ec4c69ef793","downloaded_from":"2026-09-10T02:24:16.921Z","last_downloaded_at":"2026-09-10T02:24:16.921Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479750","source_sha256":"f377878e871bf94d2dd3d88b77b972f85905f3d80b636fc489ba9f944cba4f01"}},{"citation":"962-40-25-2","para":"25-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_1FA87533-6E94-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Plan financial statements for periods ending after the determination that liquidation is imminent are prepared using the liquidation basis of accounting. </span></span></div></div>","snippet":"Plan financial statements for periods ending after the determination that liquidation is imminent are prepared using the liquidation basis of accounting.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:f64175242158ca4a1ea35008aba246d59c9679891f4b03d574cf8f0b196a3eef","downloaded_from":"2026-09-10T02:24:16.921Z","last_downloaded_at":"2026-09-10T02:24:16.921Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479750","source_sha256":"f377878e871bf94d2dd3d88b77b972f85905f3d80b636fc489ba9f944cba4f01"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:beac5742f3b940a99bb4d049664b945038bb59b72d22f2d871bd754a44d763e5","downloaded_from":"2026-09-10T02:24:16.921Z","last_downloaded_at":"2026-09-10T02:24:16.921Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479750","source_sha256":"f377878e871bf94d2dd3d88b77b972f85905f3d80b636fc489ba9f944cba4f01"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:2dace4f75fd2d9656308edb11cb9a29ebea0605ed156ddd5dc3a0e4174c18028","downloaded_from":"2026-09-10T02:24:16.921Z","last_downloaded_at":"2026-09-10T02:24:16.921Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479750","source_sha256":"f377878e871bf94d2dd3d88b77b972f85905f3d80b636fc489ba9f944cba4f01"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:2dace4f75fd2d9656308edb11cb9a29ebea0605ed156ddd5dc3a0e4174c18028","downloaded_from":"2026-09-10T02:24:16.921Z","last_downloaded_at":"2026-09-10T02:24:16.921Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479750","source_sha256":"f377878e871bf94d2dd3d88b77b972f85905f3d80b636fc489ba9f944cba4f01"}}