ASC 853 Service Concession Arrangements: Fid-Bau Portal

ASC 853 Service Concession Arrangements

Flood, Joanne M

This chapter provides clear explanations and practical examples for real‐world application of ASC 853, Service Concession Arrangements. It includes relevant sources of GAAP and expert guidance on interpretation, terminology, relevant concepts, and applicable rules, while in‐depth discussion on the issues surrounding specific pronouncements offers informative perspective for a variety of scenarios. ASC 853 contains one subtopic: ASC 853‐10, Overall, which addresses the accounting for service concession arrangements between a public sector entity grantor and an operating entity where the operating entity operates the grantor's infrastructure. ASC 853 applies to the accounting by operating entities: of a service concession arrangement; under which a public‐sector entity grantor enters into a contract with an operating entity; and to operate the grantor's infrastructure. ASC 853 addresses a narrow issue and limits the scope of the guidance to arrangements in which the grantor is a public‐sector entity.