Wiley Practitioner's Guide to GAAP 2022

18ASC 321 INVESTMENTS—EQUITY SECURITIES

• Perspective and Issues
  • Investment Topics
  • Subtopic
  • Scope and Scope Exceptions
    • Scope—Entities
    • Scope—Instruments
• Definitions of Terms
• Concepts, Rules, and Examples
  • Initial Measurement—Investments That No Longer Qualify for the Equity Method
  • Subsequent Measurement
    • Equity Securities with Readily Determinable Fair Value
    • Equity Securities without Readily Determinable Fair Values—ASC 820-20 Practical Expedient
    • Equity Securities without Readily Determinable Fair Values—ASC Measurement Alternative
    • Changes in Measurement Approach
    • Impairment Model for Equity Securities without Readily Determinable Fair Values
  • Investment in Equity Securities of an Equity Method Investee
  • Sales of Securities
  • Dividend Income
  • Presentation and Disclosure

PERSPECTIVE AND ISSUES

Investment Topics

The Codification contains several topics dealing with investments, including:

• ASC 320, Investments—Debt Securities.
• ASC 321, Investments—Equity Securities (added by ASU 2016-01).
• ASC 323, Investments—Equity Method and Joint Ventures.
• ASC 325, Investments—Other.
• ASC 326, Financial Instruments—Credit Losses. See the chapter on ASC 326 for more information.

  (ASC 321-10-05-1)

Subtopic

ASC 321, Investments—Equity Securities, contains one subtopic:

• ASC 321-10, Overall, which provides accounting and reporting guidance for investments in equity securities.

  (ASC 321-10-05-2)

Scope and Scope Exceptions

Scope—Entities The guidance in ASC 321 applies to all entities, ...