classified balance sheet

Presentation4

1. 210-10Overall210 Balance Sheet

   ASC 210-10 provides the general guidance for classifying assets and liabilities as current or noncurrent on a classified balance sheet (statement of financial position), permitting ready determination of working capital. Current assets are cash and other resources expected to be realized in cash or consumed within one year or the operating cycle, whichever is longer; current liabilities are obligations whose liquidation is expected to require use of current assets within that same period. The guidance applies to all entities, but only when an entity chooses to present a classified balance sheet (210-10-15-3).

2. 210-915Development Stage Entities210 Balance Sheet

   ASC 210-915 formerly provided balance sheet presentation guidance for development stage entities (entities devoting substantially all efforts to establishing a new business). Every paragraph in the subtopic — the overview (210-915-05-1), scope (210-915-15-1), and other presentation guidance (210-915-45-1) — was superseded by ASU 2014-10. As a result, there is no remaining incremental balance sheet presentation requirement for development stage entities; such entities follow the same guidance in ASC 210 as any other entity.

3. 210-954Health Care Entities210 Balance Sheet

   This subtopic governs how health care entities, including not-for-profit business-oriented health care entities, present their balance sheets. The general rule is a classified (current/noncurrent) balance sheet under Section 210-10-45, except that a continuing care retirement community may instead sequence assets by nearness of conversion to cash and liabilities by nearness of maturity. It also specifies that contractually limited (non-donor) assets stay in net assets without donor restrictions, that interfund balances are eliminated, and that restricted or segregated cash is excluded from current assets.

4. 210-958Not-for-Profit Entities210 Balance Sheet

   This subtopic governs the not-for-profit statement of financial position (the NFP equivalent of a balance sheet). At a minimum the statement must report totals for assets, liabilities, net assets, net assets with donor restrictions, and net assets without donor restrictions, focusing on the entity as a whole (958-210-45-1). It also requires liquidity-related presentation and disclosure, including qualitative information about how the NFP manages liquid resources and quantitative information about financial assets available for general expenditures within one year (958-210-50-1A).