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KPMG explains when and how to apply the discontinued operations guidance in ASC 205-20 and held-for-sale guidance in ASC 360-10. This update introduces new material to explain the measurement requirements under ASC 360-10 for disposal groups and assets held-for-sale.
Each chapter of this Handbook represents a different step in determining whether, when and how a disposal group is reported in discontinued operations. The chapters include excerpts from the FASB’s Accounting Standards Codification® Subtopics 205-20 and 360-10. Practical in-depth explanations and examples are provided to assist with the real-world application of key concepts.
Applicability
ASC Subtopic 205-20
ASC Subtopic 360-10
- All companies with operations that may be discontinued or long-lived assets that may be sold or otherwise disposed of.
Key impacts
- Explains when the held-for-sale criteria are met
- Discusses how to measure a held-for-sale disposal group
- Addresses specific presentation and disclosure issues relating to discontinued operations
- Examples and observations to illustrate and explain key concepts such as ‘component’ and ‘strategic shift’
Report contents
- Scope
- Component of an entity
- Disposed of or held-for-sale
- Strategic shift test
- Presentation of discontinued operations
- Disclosure of discontinued operations
- Measurement of held-for-sale disposal groups
- Presentation and disclosure of held-for-sale disposal groups that are not discontinued operations
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