Wiley GAAP 2020

55 ASC 835 INTEREST

• Perspective and Issues
  • Subtopics
  • Scope and Scope Exceptions
  • Overview
• Definitions of Terms
• Concepts, Rules, and Examples
  • ASC 835-20, Capitalization of Interest
    • Interest Cost.
    • Capitalization Interest Rate.
    • Capitalizable Base.
    • Example of Accounting for Capitalized Interest Costs
    • Determining the Time Period for Interest Capitalization.
    • Capitalization of Interest Costs Incurred on Tax-Exempt Borrowings.
    • Summary of Interest Capitalization Requirements.
  • ASC 835-30, Imputation of Interest
    • Receivables.
    • Note Issued Solely for Cash.
    • Note Issued for Cash and Rights or Privileges.
    • Example of Accounting for a Note Issued for Both Cash and a Contractual Right—Accounting by Issuer
    • Note Issued in Exchange for Property, Goods, or Services.
    • Example of Accounting for a Note Issued for Both Cash and a Contractual Right—Accounting by Debtor and Issuer
    • Example of Accounting for a Note Exchanged for Goods
    • Example of Accounting for a Note Exchanged for Property
    • Example of Accounting for a Note Exchanged to Property
    • Bonds Issued for Cash.
    • Example of Bonds Issued for Cash
    • Summary—ASC 835-30.
    • Sales of Future Revenue.
  • Effective Interest Method
    • Example of Applying the Effective Interest Method
    • Example of Note Issued between Payment Dates
  • Debt Issuance Costs
    • Consistency.

PERSPECTIVE AND ISSUES

Subtopics

ASC 835, Interest, contains three Subtopics:

• ASC 835-10, Overall, which merely points to other topics with guidance on interest
• ASC 835-20, Capitalization of Interest ...