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ASC 825 — Financial Instruments

Below is an overview of FASB Accounting Standards Codification Topic 825, Financial Instruments, as well as a list of FASB Accounting Standards Updates (ASUs) and proposed ASUs related to this Topic.


ASC 825 comprises two Subtopics (Overall and Registration Payment Arrangements). Below is an overview of each Subtopic.

825-10 Overall

ASC 825-10 notes that it provides "provide guidance on credit losses on financial instruments with off-balance-sheet credit risk and certain disclosures about financial instruments." Guidance is also included on the fair value option, including:


  1. Circumstances in which entities may choose, at specified election dates, to measure eligible items at fair value (the fair value option)
  2. Presentation and disclosure requirements designed to facilitate comparisons between entities that choose different measurement attributes for similar types of assets and liabilities.

825-20 Registration Payment Arrangements

ASC 825-20 notes the following:


An entity may issue financial instruments (for example, equity shares, warrants, or debt instruments) that are subject to a registration payment arrangement. This Subtopic provides guidance related to such arrangements.

The full text of ASC 825 can be found in the FASB Accounting Standards Codification (link to the FASB's Web site; registration required). Also, the full text of the Codification and Deloitte-authored Q&As related to the Codification are available in the Deloitte Accounting Research Tool (DART) Web site (subscription required).

Content from the FASB Accounting Standards Codification® included at is copyrighted by the Financial Accounting Foundation, 401 Merritt 7, PO Box 5116, Norwalk, CT 06856-5116, and is reproduced with permission.

FASB Accounting Standards Updates

    The following ASUs amended the guidance in this Topic:

    Proposed FASB Accounting Standards Updates

      Correction list for hyphenation

      These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.