FASB Codification Guide-2

A one step numeric path necessarily refers to a topic

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Unformatted text preview: etailed references in other documents For purposes of establishing a consistent referencing approach for items such as working papers, articles, textbooks, and other similar items, the FASB suggests the following approach for referencing Codification content from outside the Codification: 1. FASB ASC {Codification reference}, for example: a. Topics—FASB ASC Topic 840 [, Leases] b. Subtopics—FASB ASC Subtopic 840-10 [, Leases – Overall] c. Sections—FASB ASC Section 840-10-25 [, Leases – Overall – Recognition] d. Paragraph—FASB ASC paragraph 840-10-25-1 e. Subparagraph—FASB ASC subparagraph 840-10-25-1(b). Knowledgeable readers can readily infer the hierarchy level to which any numberbased citation refers simply by counting the number of ―steps‖ in the numeric ―path‖ to the cited content. A one-step numeric path necessarily refers to a Topic, a two-step path to a Subtopic, a three-step path to a Section, and a four-step path to a paragraph. For example, the citation ―FASB ASC 840-10-25‖ refers to a Section because there are three steps in the numeric path, with the first step referring to a Topic, the second step to a Subtopic within the Topic, and the third to a Section within the Subtopic. Examples of number-based citation styles that are common in practice: Topic 840 of the FASB ASC Subtopic 840-10 of the FASB ASC Section 840-10-25 of the FASB ASC Lesson 5: Citing Codification Content 49 Paragraph 840-10-25-1 of the FASB ASC FASB ASC subparagraph 840-10-25-1(b) There are many places where you can observe number-based citation styles in actual use: In accounting policy manuals: ―Leased equipment is capitalized if it meets the criteria outlined in FASB ASC 840-10-25.‖ In notes that accompany financial statements: ―Lease agreements are evaluated to determine whether they are capital leases or operating leases in accordance with paragraph 840-10-25-1 of the FASB Accounting Standards Codification.‖ If you navigate to the page of any Topic, S...
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