Accrual Basis Accounting (ASC 230): An accounting method where revenue and expenses are recorded when they are earned, regardless of when the cash is actually received or paid.

Accumulated Other Comprehensive Income (ASC 220): The section of equity on the balance sheet that reports the cumulative amounts of other comprehensive income, which includes unrealized gains and losses on certain types of investments.

Amortizing Swap (ASC 815): A swap in which the notional principal amount decreases over time, typically in line with an amortizing asset or liability

Balance Sheet (ASC 210): A financial statement that reports a company’s assets, liabilities, and shareholders’ equity at a specific point in time, providing a basis for computing rates of return and evaluating its capital structure.

Bill and Hold Sales (ASC 606): Transactions in which revenue is recognized before delivery when the buyer is billed and the seller holds the product until future delivery.

Book Value (ASC 820): The value of an asset as it appears on the balance sheet, calculated by subtracting any depreciation, amortization, or impairment costs from its original cost.

Capital Lease (ASC 842): A lease classified as a purchase by the lessee and thus recorded as an asset and a liability on the balance sheet, reflecting the ownership of the asset.

Concentration of Credit Risk (ASC 825): Financial reporting that requires disclosure of any significant concentration of credit risk from any source, including the geographic area, type of customer, or type of collateral.

Consolidation (ASC 810): The process of combining the financial statements of two or more legally separate but related entities under common control into a single set of financial statements.

Debt Restructuring (ASC 470-60): A process by which a debtor and creditor agree on modified terms of a debt obligation that will generally result in a reduction in the debtor’s burden.

Deferred Revenue (ASC 606): Income received by a company for goods or services which have yet to be delivered or performed, recorded on the balance sheet as a liability until the revenue can be recognized according to revenue recognition criteria.

Derivative Financial Instruments (ASC 815): Financial instruments or other contracts with all three characteristics of a derivative: a) one or more underlyings and one or more notional amounts, b) no initial net investment, c) terms that require or permit net settlement.

Earnings per Share (EPS) (ASC 260): A measure of how much profit a company has earned for each share of its stock, a key indicator used to gauge the profitability of a company.

Equity Method (ASC 323): A method of accounting whereby an investment is initially recorded at cost and subsequently adjusted to reflect the investor’s share of the net profits or losses of the investee.

Exit or Disposal Cost Obligations (ASC 420): Liabilities incurred either as a result of a plan to terminate an operation or from the sale, disposal, or abandonment of an asset.

Extensible Business Reporting Language (XBRL) (ASC 220): A standard that defines and communicates business and financial data in a way that the data can be identified and used by software.

Extraordinary Gains and Losses (ASC 225-20): Events and transactions that are distinguished by their unusual nature and the infrequency of their occurrence, recognized separately on the income statement.

Extraordinary Items (ASC 225-20): Events and transactions that are distinguished by their unusual nature and by the infrequency of their occurrence.

Fair Value (ASC 820): The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Financial Instruments (ASC 825): Contracts that give rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Functional Currency (ASC 830): The currency of the primary economic environment in which an entity operates, usually the currency of the environment in which an entity primarily generates and expends cash.

Gain Contingency (ASC 450): An existing condition, situation, or set of circumstances involving uncertainty as to possible gain that will ultimately be resolved when one or more future events occur or fail to occur.

Gains and Losses (ASC 220-10): Increases or decreases in equity from peripheral or incidental transactions of an entity except those that result from revenues or investments by owners.

Goodwill (ASC 350): An intangible asset that arises when a business is acquired but the purchase price exceeds the fair value of the identifiable net assets.

Hedge Accounting (ASC 815): Accounting for derivatives intended to offset changes in fair values or cash flows associated with a designated risk, which may be bypassed through specific hedge accounting methods.

Held-to-Maturity Securities (ASC 320): Debt securities that an entity has the positive intent and ability to hold to maturity.

Historical Cost (ASC 330): A principle in accounting stating that companies should value an asset at its original cost at the time of acquisition.

Impairment (ASC 360): A permanent reduction in the value of a company’s asset, typically when the fair market value of an asset declines below its carrying amount on the balance sheet.

Income Taxes (ASC 740): Accounting for the effects of taxes on income, including the requirements for recognizing, measuring, presenting, and disclosing in financial statements.

Intangible Assets (ASC 350): Non-physical assets with no fixed expiry, such as trademarks, patents, and copyrights, recognized only if they are acquired or developed through legal or contractual rights.

Joint and Several Liability (ASC 450): An obligation for which more than one party is responsible. Each party is responsible for the full amount of the liability in the case the other parties fail to pay their share.

Joint Venture (ASC 323): An arrangement in which two or more parties come together to undertake economic activities that are subject to joint control.

Jointly Controlled Entities (ASC 810-10): A joint arrangement whereby the assets and liabilities under the arrangement are owned and controlled by the joint venture and its venturers.

Key Employee (ASC 718): An employee whose skills, knowledge, or management abilities are crucial to the enterprise and whose loss would significantly affect the future profits and ultimate survival of the entity.

Key Indicator Approach (ASC 606): A method of determining whether a vendor’s performance creates an asset with an alternative use to the entity and whether the vendor has an enforceable right to payment for performance completed to date.

Key Performance Indicators (KPIs) (ASC 270): Quantifiable measures used to evaluate the success of an organization, employee, etc., in meeting performance objectives.

Leasehold Improvements (ASC 842): Enhancements made to leased premises by lessees, such as partitions, ceilings, and customized lighting. These improvements revert to the lessor at the termination of the lease.

Liabilities (ASC 405): Probable future sacrifices of economic benefits arising from present obligations of a particular entity to transfer assets or provide services to other entities in the future as a result of past transactions or events.

LIFO Reserve (ASC 330-10-20): The difference between the cost of inventory calculated under the Last In, First Out (LIFO) method and its cost calculated under the First In, First Out (FIFO) method.

Market Approach (ASC 820): A valuation technique that uses prices and other relevant information from market transactions involving identical or comparable assets or liabilities.

Market Risk (ASC 815): The risk of changes in fair value or future cash flows of a financial instrument due to fluctuations in market prices.

Materiality (ASC 105-10-05): The threshold above which missing or misstated information in financial statements is likely to influence the decision of a reasonable person relying on the document.

Net Income (ASC 220): The total earnings of a company, calculated as the Revenue minus Costs of Goods Sold, expenses, and taxes for an accounting period.

Net Investment in the Lease (ASC 842): The lease payments receivable by the lessor under a finance lease minus any unguaranteed residual value accruing to the lessor.

Net Realizable Value (ASC 330): The estimated selling price in the ordinary course of business minus reasonably predictable costs of completion, disposal, and transportation.

Operating Lease (ASC 842): A type of lease in which the lessee only has rights to use the asset for a fraction of the asset’s useful life, and the lease payments are considered operating expenses.

Other Comprehensive Income (ASC 220): Non-owner changes in equity that are excluded from net income, such as foreign currency items, minimum pension liability adjustments, and unrealized gains and losses on certain investments.

Other Than Temporary Impairment (ASC 320): Impairments considered not to be temporary, which must be recognized in earnings for debt and equity investments.

Pension Plans (ASC 715): Financial arrangements that entities provide to their employees as a form of retirement benefit, which may require complex calculations and disclosures.

Postemployment Benefits (ASC 712): Benefits provided to former or inactive employees after employment but before retirement, such as severance pay.

Post-retirement Benefits (ASC 715): Benefits, other than pensions, that an employer provides to employees after they retire, such as life insurance and medical care.

Qualified Assets (ASC 360): Assets that necessarily take a substantial period of time to get ready for their intended use or sale.

Qualified Assets (ASC 835-20): Assets that necessarily take a substantial period of time to get ready for their intended use or sale.

Qualified Opinion (AU-C §705): A statement issued by an auditor that suggests the financial statements of a client may need to be revised, though generally compliant with GAAP.

Receivables (ASC 310): Claims held against others for money, goods, or services, including amounts due from customers, suppliers, employees, and others.

Related Party Transactions (ASC 850): Transactions that occur between two parties who hold a relationship that may make transactions not conducted at arm’s length.

Revenue Recognition (ASC 606): The principle that determines the specific conditions under which revenue is recognized and dictates how to account for it.

Sales Returns (ASC 606): Transactions where a customer returns a product for various reasons, affecting the revenue recognition processes.

Segment Reporting (ASC 280): The reporting of the operating segments of a company in the disclosures accompanying its financial statements.

Stock Compensation (ASC 718): Compensation such as options or equity shares provided to employees and executives, which is measured at fair value at the grant date and recognized over the service period.

Tangible Assets (ASC 360): Physical assets that include machinery, vehicles, buildings, and other equipment.

Temporary Equity (ASC 480-10): Classification of certain equity instruments that are not classified as permanent equity due to redeemable or mandatorily redeemable terms.

Transfer Pricing (ASC 740): The setting of prices for the transfer of goods, services, and property between controlled entities that may affect the computation of taxable income.

Unbilled Receivables (ASC 606): Receivables for revenue recognized on contracts before the billing to the customer is due, under the percentage-of-completion method.

Underwriting Costs (ASC 340-30): Costs associated with the process of issuing new securities, which are typically deferred and then amortized over time.

Unearned Revenue (ASC 606): Payments received by a company for goods or services yet to be delivered or performed, considered a liability until the revenue recognition criteria are met.

Variable Interest Entities (VIE) (ASC 810): A legal entity in which an investor holds a controlling interest that is not based on the majority of voting rights.

Variable Interest Rate (ASC 815): An interest rate that can change, based on movements of a linked index or benchmark, affecting the total amount of interest payments or receipts over the life of the financial instrument.

Warranty Expenses (ASC 460): Costs that are estimated and recognized at the time of sale relating to the expected costs of warranty obligations.

Warranty Liabilities (ASC 460): Liabilities recorded for the estimated costs of goods sold that may be returned under warranty.

Writedown (ASC 360): The reduction in the book value of assets whose fair market value has fallen below the current carrying value.

Yield (ASC 835): The rate of return on an investment, expressed as a percentage, which includes the interest payments received and adjustments for changes in the market value of the investment.

Yield to Maturity (ASC 320): The total return anticipated on a bond if the bond is held until it matures, calculated by taking into account the present value of all future coupon payments and the face value.

Zero-Based Budgeting (ZBB) (ASC 230-10-50): A method of budgeting in which all expenses must be justified for each new period, regardless of whether each budget is higher or lower than the previous one.

Zero-Coupon Bond (ASC 835): A bond issued at a discount to par and does not pay interest during its life but is redeemed at its face value at maturity.

Zero-Coupon Securities (ASC 835-30): Debt securities that do not pay interest during their life but are issued at a deep discount to their face value.