Glossary
O
29 terms
obligated to write
A circumstance in which an entity has no discretion to cancel a policy because of legal obligation under state statute, contract terms, or regulatory practice and is required to offer or issue insurance policies for a period in the future.
Used in 1 subtopic:405-30
Obligation
A conditional or unconditional duty or responsibility to transfer assets or to issue equity shares. Because Topic 480 relates only to financial instruments and not to contracts to provide services and other types of contracts, but includes duties or responsibilities to issue equity shares, this definition of obligation differs from the definition found in FASB Concepts Statement No. 6, Elements of Financial Statements, and is applicable only for items in the scope of that Topic. (P) December 16, 2024; (N) December 16, 2025105-10-65-9A conditional or unconditional duty or responsibility to transfer assets or to issue equity shares. This definition is applicable only for items within the scope of Topic 480.
Used in 1 subtopic:480-10
obligation callable
An obligation is callable at a given date if the creditor has the right at that date to demand, or to give notice of its intention to demand, repayment of the obligation owed to it by the debtor.
Used in 1 subtopic:470-10
Obligations subject to compromise
Includes all prepetition liabilities (claims) except those that will not be impaired under the plan, such as claims in which the value of the security interest is greater than the claim.
Used in 1 subtopic:852-10
Observable Inputs
Inputs that are developed using market data, such as publicly available information about actual events or transactions, and that reflect the assumptions that market participants would use when pricing the asset or liability.
Used in 1 subtopic:820-10
Offering Costs
Offering costs include all of the following: Legal fees pertaining to the investment company's shares offered for sale Securities and Exchange Commission (SEC)and state registration fees Underwriting and other similar costs Costs of printing prospectuses for sales purposes Initial fees paid to be listed on an exchange Tax opinion costs related to offering of shares Initial agency fees of securing the rating for bonds or preferred stock issued by closed-end funds.
Oil- and Gas-Producing Activities
Paragraph 932-10-15-2A defines the term oil- and gas-producing activities.
One-Time Employee Termination Benefits
Benefits provided to current employees that are involuntarily terminated under the terms of a one-time benefit arrangement.
ongoing economic interest in the net assets of the other
A residual right to another not-for-profit entity's (NFP's) net assets that results from an ongoing relationship. The value of those rights increases or decreases as a result of the investment, fundraising, operating, and other activities of the other entity.
Used in 1 subtopic:958-20
open year method
A revenue recognition method under which underwriting results of foreign reinsurance are not included in the income statement until sufficient information becomes available to provide reasonable estimates of earned premiums.
Used in 1 subtopic:605-944
operating activities
Operating activities include all transactions and other events that are not defined as investing or financing activities (see paragraphs 230-10-45-12230-10-45-13230-10-45-14230-10-45-15). Operating activities generally involve producing and delivering goods and providing services. Cash flows from operating activities are generally the cash effects of transactions and other events that enter into the determination of net income.
Used in 1 subtopic:230-10
operating cycle
The average time intervening between the acquisition of materials or services and the final cash realization constitutes an operating cycle.
Operating Lease
From the perspective of a lessee, any lease other than a finance lease. From the perspective of a lessor, any lease other than a sales-type lease or a direct financing lease.
Used in 9 subtopics:220-40340-970450-30805-20810-10842-10+3 more
operating segment
A component of a public entity. See Section 280-10-50 for additional guidance on the definition of an operating segment.
Option
Unless otherwise stated, a call option that gives the holder the right to purchase shares of common stock from the reporting entity in accordance with an agreement upon payment of a specified amount. Options include, but are not limited to, options granted and stock purchase agreements entered into with grantees. Options are considered securities. See Call Option.
orchard
Fruit trees planted in geometric patterns to economically facilitate care of the trees and harvest of the fruit. See also Grove.
Used in 1 subtopic:360-905
Orderly Transaction
A transaction that assumes exposure to the market for a period before the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets or liabilities; it is not a forced transaction (for example, a forced liquidation or distress sale).
Used in 15 subtopics:321-10326-20326-30350-60805-60818-10+6 more
ordinary course of business
See paragraph 942-210-S99-1, Regulation S-X Rule 9-03(7)(e)(4), for the definition of ordinary course of business for the purpose of Regulation S-X Rule 9-03.
Ordinary Income (or Loss)
Ordinary income (or loss) refers to income (or loss) from continuing operations before income taxes (or benefits) excluding significant unusual or infrequently occurring items. Discontinued operations and cumulative effects of changes in accounting principles are also excluded from this term. The term is not used in the income tax context of ordinary income versus capital gain. The meaning of unusual or infrequently occurring items is consistent with their use in the definitions of the terms unusual nature and infrequency of occurrence.
Used in 1 subtopic:270-740
original contract
A contract that was initially entered into by the contract holder before any potential internal replacement activity.
originator's acquisition cost
Costs incurred by a mortgage banking entity that originates mortgage loans for a lender that intends to hold the loans to maturity.The originator's acquisition cost is equal to the principal amount of the loan adjusted for unamortized net fees and costs and any unearned discounts or premiums.
Used in 1 subtopic:310-948
other comprehensive income
Revenues, expenses, gains, and losses that under generally accepted accounting principles (GAAP) are included in comprehensive income but excluded from net income.
Used in 8 subtopics:220-10815-10815-15815-20815-25815-30+2 more
Other Postemployment Benefits
Benefits, other than special or contractual termination benefits, that are provided by an employer to former or inactive employees after employment but before retirement including benefits provided to beneficiaries and covered dependents.
Other Price Risk
The risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer or by factors affecting all similar financial instruments traded in the market.
Used in 1 subtopic:820-10
overall deal
An arrangement in which an entity compensates a producer or other creative individual for the exclusive or preferential use of that party's creative services.
Owners
Used broadly to include holders of ownership interests (equity interests) of investor-owned entities, mutual entities, or not-for-profit entities. Owners include shareholders, partners, proprietors, or members or participants of mutual entities. Owners also include owner and member interests in the net assets of not-for-profit entities.
owners association
A body of owners formed to administer the rules and regulations of a time-sharing project. Also denoted homeowners association, interval owners association, property owners association, or vacation owners association.
Used in 1 subtopic:720-978