accounting policy disclosure

ASC 235-910 was the construction-contractor industry supplement to ASC 235 on notes to financial statements, which required disclosure of the accounting policies used for construction-type contracts. Every paragraph in the subtopic (05-1, 15-1, 50-1 and 50-2) was superseded by Maintenance Update No. 2019-01, so the subtopic now contains no operative guidance. Contractors instead look to the general accounting policy disclosure requirements of ASC 235-10 and to the revenue disclosures in ASC 606.

ASC 720-35 governs how entities account for advertising costs in annual financial statements. The core rule: advertising costs are expensed either as incurred or the first time the advertising takes place, applied consistently as an accounting policy to similar kinds of advertising activities (720-35-25-1); no advertising asset is capitalized, though sales materials may be treated as prepaid supplies and cooperative-advertising obligations must be accrued when the related revenue is recognized. The notes must disclose the policy elected and total advertising expense for each income statement presented (720-35-50-1).