Accounting Standards Codification (ASC) 505-50, "Equity - Equity-Based Payments to Non-Employees," provides guidance on the accounting treatment for share-based payment transactions involving non-employees, such as consultants or independent contractors. This article explains the key provisions of ASC 505-50, its application, and the relevant journal entries for recognizing share-based compensation expense related to equity-based payments to non-employees.
Accounting Standards Codification (ASC) 420, "Exit or Disposal Cost Obligations," provides guidance on the accounting treatment for costs associated with exit or disposal activities, such as restructuring initiatives or business closures. This article explains the key provisions of ASC 420, its application, and the relevant journal entries for recognizing restructuring liabilities related to exit or disposal activities.
The Accounting Standards Codification (ASC) 974 provides guidance on real estate transactions, particularly for the time-sharing industry. Time-sharing activities involve the sale of interests in vacation properties, where multiple purchasers hold the right to use the property for specific periods each year. This article aims to explain the sales revenue recognition process for time-sharing activities and illustrate the associated journal entries under ASC 974.
ASC 972 is a part of the Accounting Standards Codification issued by the Financial Accounting Standards Board (FASB) in the United States. This standard provides guidance on the recognition, measurement, presentation, and disclosure requirements for REITs. It outlines the specific accounting treatment for transactions related to investment properties, including acquisition, depreciation, and disposal.
Investment companies, such as mutual funds, hedge funds, and private equity firms, hold a diversified portfolio of investments to generate returns for their investors. Accurate valuation of these investments is critical to providing transparent and reliable financial reporting. The Accounting Standards Codification (ASC) 946, specifically addresses the accounting and reporting requirements for investment companies. In this article, we will explore ASC 946, focusing on investment valuation, and explain how to record these transactions using journal entries.