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Chapter 2 — Glossary of Selected Terms

2.8 Base Portion of the ASC 480 Measurement Adjustment

2.8 Base Portion of the ASC 480 Measurement Adjustment

As discussed in Section 9.4.4.2, the cumulative base portion of the ASC 480 measurement adjustment, which does not affect net income attributable to the parent, the parent’s reported EPS, or both on a cumulative basis, equals the portion, if any, of the redeemable noncontrolling interest’s current redemption price that is equal to or less than fair value but greater than the redeemable noncontrolling interest’s ASC 810-10 carrying amount. The current period’s base portion of the ASC 480 measurement adjustment, if any, represents the cumulative base portion of the ASC 480 measurement adjustment on the reporting date less the cumulative base portion of the ASC 480 measurement adjustment at the beginning of the reporting period.