ASU 2014-06: Technical Corrections and Improvements Related to Glossary Terms

Appendix A – 2015- 50 Chart of Corrections

Section A—Amendments Related to the Deletion of Master Glossary Terms

The following table summarizes the amendments to the Master Glossary in this section. The amendments are presented in alphabetical order by Master Glossary term, and the table lists the definition and source literature of each term, if identified in the Codification, and describes the changes. The table also includes terms that are currently not linked in the Codification and terms bring removed from the FASB Master Glossary.

The last column lists the status of the GAAP source literature for statutory accounting and the recommended action.

Section A: Master Glossary Definition Source Literature Description of Change SAP Status/Recommendation Term Annuity Gift See Charitable Gift Annuity. Glossary of AICPA Audit and • Supersede because not linked in Not-for-profit is not considered for Accounting Guide, Not-for- the Codification. SAP, therefore, not included in SAP. Profit Organizations (2008) No action needed. Diversifiable Risk See Unsystematic Risk. FASB Statement No.157, Fair • Supersede because not linked in the FAS 157 adopted with modification Value Measurements Codification. in SSAP No. 100, but term not included in SAP. No action needed. Dividend Interest The total interest rate the entity pays AICPA Statement of Position • Supersede because not used in the AICPA SOP 95-1 rejected in SSAP Rate on its dividend fund. 95-1, Accounting for Certain Codification. Nos. 51 & 52. Not included in SAP. Insurance Activities of Mutual No action needed. Life Insurance Enterprises Fair and Equitable In demutualization or mutual insurance AICPA Statement of Position • Supersede because not linked in the AICPA SOP 00-3 is Pending. holding entity state regulation, fair and 00-3, Accounting by Insurance Codification. equitable describes how the allocation Enterprises for of consideration to eligible Demutualizations and policyholders shall be determined. Formations of Mutual Insurance Holding Companies and for Certain Long-Duration Participating Contracts Farm Price Method A method of accounting for AICPA Statement of Position • Supersede because not used in the AICPA SOP 85-3 deemed not inventories at the sales prices in the 85-3, Accounting by Codification. applicable. nearest local market for the quantities Agricultural Producers and No action needed. that the producer normally sells less Agricultural Cooperatives

© 2015 National Association of Insurance Commissioners 1 Section A: Master Glossary Definition Source Literature Description of Change SAP Status/Recommendation Term the estimated costs of disposition. Financial Position Financial position of an investee AICPA Accounting Principles • Supersede because not used in the AICPA APB 18 rejected in SSAP No. of an Investee determined in accordance with U.S. Board Opinion No. 18, The Codification. 97. generally accepted accounting Equity Method of Accounting No action needed. principles (GAAP). for Investments in Common Stock Funds Held in Resources held and administered, at Glossary of AICPA Audit and • Supersede because not used in the Not-for-profit is not considered for Trust by Others the direction of the resource provider, Accounting Guide, Not-for- Codification. SAP, therefore, not included in SAP. by an outside trustee for the benefit of Profit Organizations (2008) No action needed. a not-for-profit entity (NFP), frequently in connection with a split- interest agreement or permanent endowment. Involuntary See Termination. FASB Statement No. 60, • Supersede because only linked in FAS 60 rejected in various SSAPs. Termination Accounting and Reporting by the definition of Master Glossary Term not used. Insurance Enterprises term Termination. No action needed. Joint Venturers See Corporate Joint Venture. No source listed in • Supersede because not used in the Term included in SSAP No. 48. Codification Codification. No action needed. LDC Loan See Less-Developed Country Loan. No source listed in • Supersede because not used in the Term not used. Codification Codification. No action needed. Lease and Well See Wells and Related Equipment FASB Statement No. 19, • Supersede because not used in the FAS 19 not applicable to SAP. Equipment and Facilities. Financial Accounting and Codification. No action needed. Reporting by Oil and Gas Producing Companies Less-Developed A loan to a financially troubled No source literature listed in • Supersede because not linked in the Not used in SAP. Country Loan country, in regulatory terminology a the Codification Codification. No action needed. less-developed-country. Life Income A form of split-interest agreement in Glossary of AICPA Audit and • Supersede because not used in the Not-for-profit is not considered for Agreement which a not-for-profit entity (NFP) is Accounting Guide, Not-for- Codification. SAP, therefore, not included in SAP. obligated to make payments to the Profit Organizations (2008) No action needed. donor or a third- party beneficiary for that beneficiary’s life. See Charitable Gift Annuity and Charitable Remainder Trust. Matched Repos Matched repos are situations in which AICPA Audit and Accounting • Supersede because not used in the Brokers/dealers guide is not the broker-dealer has entered into Guide, Brokers and Dealers in Codification. considered for SAP, therefore, not repos and reverse repos using the same Securities (2008) included in SAP. securities. No action needed. Nondiversifiable See Systematic Risk. FASB Statement No.157, Fair • Supersede because not linked in the FAS 157 adopted with modification Risk Value Measurements Codification. in SSAP No. 100, but term not Appendix A – 2015- 50 Chart of Corrections

Section A: Master Glossary Definition Source Literature Description of Change SAP Status/Recommendation Term included in SAP. No action needed. Objective Covenants that require the financial Statement 133 Implementation • Supersede because not used in the Implementation Issues not reviewed Covenants institution to determine the borrower’s Issue No. C13 Codification. for SAP, so term not included. compliance objectively; that is, they No action needed. typically refer to financial ratios and other data. Raised Animals Animals produced and raised from an AICPA Statement of Position • Supersede because not used in the AICPA SOP 85-3 deemed not owned herd, as opposed to purchased 85-3, Accounting by Codification. applicable. animals. Agricultural Producers and No action needed. Agricultural Cooperatives Recurring Land Costs that do not result in permanent AICPA Statement of Position • Supersede because not used in the AICPA SOP 85-3 deemed not Development Costs or long-term improvements to land; for 85-3, Accounting by Codification. applicable. example, maintenance costs that occur Agricultural Producers and No action needed. annually or periodically. Agricultural Cooperatives Remainder Trust See Charitable Remainder Trust. AICPA Audit and Accounting • Supersede because not linked in the Not-for-profit is not considered for Guide, Not- for-Profit Codification. SAP, therefore, not included in SAP. Organizations (2008) No action needed. Retrospective Accounting methods that measure the FASB Statement No. 97, • Supersede because not used in the FAS 97 rejected for SAP. Term not Deposit Methods liability for policy benefits based on Accounting and Reporting by Codification. used. policyholder balances. Insurance Enterprises for No action needed. Certain Long-Duration Contracts and for Realized Gains and Losses from the Sale of Investments Revolving-Debt See Line-of-Credit Arrangement. No source listed in • Supersede because not used in the Term in SSAP No. 15. Agreement Codification Codification. No action needed. Risk Load See Risk of Adverse Deviation. FASB Statement No. 60, • Supersede because not used in the FAS 60 rejected for SAP. “Risk load” Accounting and Reporting by Codification. is not included in SAP. “Risk of Insurance Enterprises adverse deviation” is in Preamble, paragraph 10. No action needed. SDR See Special Drawing Rights. No source listed in • Supersede because not used in the Term not included in SAP. Codification Codification. No action needed. Subjective Covenants that permit the lender to Statement 133 Implementation • Supersede because not used in the Implementation Issues not reviewed Covenants determine the borrower’s compliance Issue No. C13 Codification. for SAP, so term not included.

© 2015 National Association of Insurance Commissioners 3 Section A: Master Glossary Definition Source Literature Description of Change SAP Status/Recommendation Term subjectively; that is, they contain No action needed. provisions that can be evaluated differently by the parties to the agreement, such as a provision referring to a material adverse change. Unit Livestock Accounting for livestock by using an AICPA Statement of Position • Supersede because not used in the AICPA SOP 85-3 deemed not Method arbitrary fixed periodic charge. For 85-3, Accounting by Codification. applicable. raised animals the amount is Agricultural Producers and No action needed. accumulated by periodic increments Agricultural Cooperatives from birth to maturity or disposition. For purchased animals the arbitrary fixed periodic amount is added to the acquisition cost until maturity or disposition of the animal. Voluntary See Termination. FASB Statement No. 60, • Supersede because only linked in FAS 60 rejected for SAP. Phrase Termination Accounting and Reporting by the definition of the Master Glossary included in SSAP No. 102. Insurance Enterprises term Termination. No action needed. Appendix A – 2015- 50 Chart of Corrections

Section B—Amendments Related to the Addition of Master Glossary Term Links

The following tables summarize the amendments to the Master Glossary in this section. The amendments in each table are presented in alphabetical order by the Master Glossary term to which they relate, and the table lists the definition and source literature of each term, if identified in the Codification, and describes the changes. The table includes terms that are currently not linked in the Codification and describes to which Subtopics or Master Glossary terms this ASU links these terms.

This section comprises two subsections. Each subsection has a table to reflect the amendments within that subsection. The first subsection table identifies new links between a Master Glossary term and the use of the term in a Codification paragraph (or another Master Glossary term) that originate from the same source literature. The second subsection table identifies new links between a Master Glossary term and the use of the term in a Codification paragraph (or another Master Glossary term) that do not originate from the same source literature, but have the same meaning.

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation Contract Value of a Fully The contract value of a fully benefit- AICPA Statement of • Add 10 SOP 92-6 Benefit- Responsive responsive investment contract held by Position 92-6, glossary link to deemed not Investment Contract a defined contribution health and Accounting and Subtopic 965- applicable. welfare benefit plan is the amount a Reporting by Health 325, Plan No action participant would receive if he or she and Welfare Benefit Accounting— needed. were to initiate transactions under the Plans Health and terms of the ongoing plan. Welfare Benefits Plans — Investments —Other. Cooperatives The Agricultural Marketing Act of AICPA Statement of • Rename the 11–38 SOP 85-3 1929 defines a cooperative association Position 85-3, term deemed not as any association in which farmers act Accounting by Agricultural applicable. together in processing, preparing for Agricultural Producers Cooperatives. No action market, handling, and/or marketing the and Agricultural • Amend and needed. farm products of persons so engaged, Cooperatives add glossary and also means any association in links to the which farmers act together in definitions of Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation purchasing, testing, grading, Member of an processing, distributing, and/or Agricultural furnishing farm supplies and/or farm Cooperative, business services. Provided, however, Nonmember of that such associations are operated for an Agricultural producers or purchasers and conform Cooperative, to one or both of the following and Patrons. requirements: • Add a. No member of the association glossary links is allowed more than one vote because to: of the amount of stock or membership o Subtopic capital he may own therein. 905-10, b. The association does not pay Agriculture— dividends on stock or membership Overall capital in excess of 8 percent per year. o Subtopic In addition to meeting either of the 905-205, requirements in this paragraph, the Agriculture— association shall not deal in farm Presentation business products, farm supplies, and of Financial farm services with or for nonmembers Statements in an amount greater in value than the o Subtopic total amount of such business 905-310, transacted by it with or for members. Agriculture— All business transacted by any Receivables cooperative association for or on o Subtopic behalf of the United States or any 905-325, agency or instrumentality thereof shall Agriculture— be disregarded in determining the Investments— volume of member and nonmember Other business transacted by such o Subtopic association. 905-330, Agriculture— Inventory o Subtopic 905-405, Agriculture— Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation Liabilities o Subtopic 905-505, Agriculture— Equity o Subtopic 905-605, Agriculture— Revenue Recognition o Subtopic 905-705, Agriculture— Cost of Sales and Services. Designated Net Assets Unrestricted net assets subject to self- AICPA Audit and • Add 39 Not-for-profit is imposed limits by action of the Accounting Guide, Not- glossary link to not considered for governing board. Designated net assets for-Profit Organizations Subtopic 958- SAP, therefore, may be earmarked for future programs, (2008) 210, Not-for- not included in investment, contingencies, purchase or Profit Entities SAP. construction of fixed assets, or other —Balance No action uses. Sheet. needed. Direct Guarantee of An agreement in which a guarantor FASB Interpretation • Amend the 40 FIN 45 adopted Indebtedness states that if the debtor fails to make No. 45, Guarantor’s Master with payment to the creditor when due, the Accounting and Glossary term modification in guarantor will pay the creditor. If the Disclosure Indirect SSAP 5R. debtor defaults, the creditor has a Requirements for Guarantee of Definition not direct claim on the guarantor. Guarantees, Including Indebtedness included. No Indirect Guarantees of and link Direct change needed. Indebtedness of Others Guarantee of Indebtedness to the definition of this term. Dividend to Policyholders Nonguaranteed amounts distributable AICPA Statement of • Add 41–44 SOP 95-1 to policyholders of participating life Position 95-1, glossary links rejected in insurance contracts and based on Accounting for Certain to: SSAPs 51 & 52. Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation actual performance of the insurance Insurance Activities of o Subtopic Links only. No entity as determined by the insurer. Mutual Life Insurance 944-20, change needed. Under various state insurance laws, Enterprises and FASB Financial dividends are apportioned to Statement No. 60, Services— policyholders on an equitable basis. Accounting and Insurance— The dividend allotted to any contract Reporting by Insurance Insurance often is based on the amount that the Enterprises Activities contract, as one of a class of similar o Subtopic contracts, has contributed to the 944-60, income available for distribution as Financial dividends. Dividends to policyholders Services— include annual policyholder dividends Insurance— and terminal dividends. Premium Deficiency and Loss Recognition o Subtopic 944-405, Financial Services— Insurance— Liabilities. Fractional Interest A partial ownership interest in real AICPA Statement of • Add 45 SOP 04-2 estate that typically includes larger Position 04-2, glossary link to deemed not blocks of time on an annual basis (for Accounting for Real Subtopic 978- applicable. No example, three weeks or more). Estate Time-Sharing 10, Real Estate action needed. Transactions —Time- Sharing Activities— Overall. Member of a Cooperative A member of a cooperative is an AICPA Statement of • Add 11–38 SOP 85-3 owner-patron who is entitled to vote at Position 85-3, glossary link to deemed not corporate meetings of a cooperative. Accounting by the definition applicable. Agricultural Producers of the Master No action and Agricultural Glossary term needed. Cooperatives Agricultural Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation Cooperatives. • Rename the term Member of an Agricultural Cooperative, and update links throughout the Codification. Nonmember of a A nonmember patron is not entitled to AICPA Statement of • Add 11–38 SOP 85-3 Cooperative voting privileges. A nonmember Position 85-3, glossary link to deemed not patron may or may not be entitled to Accounting by the definition applicable. share in patronage distributions, Agricultural Producers of the Master No action depending on the articles and bylaws and Agricultural Glossary term needed. of the cooperative or on other Cooperatives Agricultural agreements. Cooperatives. • Rename the term Nonmember of an Agricultural Cooperative, and update links throughout the Codification. Orphan Share Potentially An identified potentially responsible AICPA Statement of • Add 46 and 47 SOP 96-1 Responsible Party party that cannot be located or that is Position 96-1, glossary link to adopted SSAP insolvent. Some of these parties may Environmental Subtopic 410- 67, As this is a be identified by the Environmental Remediation Liabilities 30, Asset Glossary link Protection Agency; others may be Retirement and only, no action identified as the site is investigated or Environmental needed. as the remediation is performed. Obligations— However, no contributions will ever be Environmental made by these parties. Obligations. Patrons Any individual, trust, estate, AICPA Statement of • Add 11–38 SOP 85-3 Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation partnership, corporation, or Position 85-3, glossary link to deemed not cooperative with or for whom a Accounting by the definitions applicable. cooperative does business on a Agricultural Producers of Agricultural No action cooperative basis, whether a member and Agricultural Cooperative needed. or nonmember of the cooperative. Cooperatives and Nonmember of an Agricultural Cooperative. Participating Potentially A party to a Superfund site that has AICPA Statement of • Add 46 and 47 SOP 96-1 Responsible Party acknowledged potential involvement Position 96-1, glossary link to adopted SSAP 67 with respect to the site. Active Environmental Subtopic 410- Superfund is potentially responsible parties may Remediation Liabilities 30, Asset included in SSAP participate in the various Retirement and No. 65 as it administrative, negotiation, Environmental relates to monitoring, and remediation activities Obligations— asbestos and related to the site. Others may adopt a Environmental environmental passive stance and simply monitor the Obligations. exposures. activities and decisions of the more • Add As this is a involved potentially responsible glossary link to Glossary link parties. This passive stance could the definition only, no action result from a variety of factors such as of the Master needed. the entity’s lack of experience, limited Glossary term internal resources, or relative Potentially involvement at a site. This category of Responsible potentially responsible parties (both Party. active and passive) is also referred to as players. Potentially Responsible Any individual, legal entity, or AICPA Statement of • Add 46 and 47 SOP 96-1 Party government—including owners, Position 96-1, glossary link to adopted SSAP operators, transporters, or generators— Environmental Subtopic 410- 67. potentially responsible for, or Remediation Liabilities 30, Asset Superfund is contributing to, the environmental Retirement and included in SSAP impacts at a Superfund site. The Environmental No. 65 as it Environmental Protection Agency has Obligations— relates to the authority to require potentially Environmental asbestos and responsible parties, through Obligations. environmental Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation administrative and legal actions, to • Add exposures. remediate such sites. At early stages of glossary link to As this is a the remediation process, the list of the definitions Glossary link potentially responsible parties may be of the Master only, no action limited to a handful of entities that Glossary terms: needed. either were significant contributors of o Orphan waste to the site or were easy to Share identify, for example, because of their Potentially proximity to the site or because of Responsible labeled material found at the site. As Party further investigation of the site occurs o and as remediation activities take place, additional potentially Participating responsible parties may be identified. Potentially Once identified, the additional Responsible potentially responsible parties would Party be reclassified from this category to o either the participating potentially responsible party or recalcitrant Recalcitrant potentially responsible party category. Potentially The total number of parties in this Responsible category and their aggregate allocable Party share of the remediation liability varies o Unknown by site and cannot be reliably Potentially determined before the specific Responsible identification of individual potentially Party. responsible parties. For example, some ultimately may be dropped from the potentially responsible party list because no substantive evidence is found to link them to the site. For others, substantive evidence eventually may be found that points to their liability. The presentation of that evidence to the entity would result in a reclassification of the party from this Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation category of potentially responsible parties (sometimes referred to as hiding in the weeds) to either the participating potentially responsible party or recalcitrant potentially responsible party category. Reacquisition Price of The amount paid on extinguishment, AICPA Accounting • Add glossary 48 APB 26 adopted Debt including a call premium and Principles Board link to Subtopic with miscellaneous costs of reacquisition. If Opinion No. 26, Early 470-50, Debt— modification in extinguishment is achieved by a direct Extinguishment of Debt Modifications SSAP 15. As this exchange of new securities, the and is a Glossary link reacquisition price is the total present Extinguishments. only, no action value of the new securities. needed. Recalcitrant Potentially A party whose liability with respect to AICPA Statement of • Add glossary 46 and 47 SOP 96-1 Responsible Party a Superfund site is substantiated by Position 96-1, link to Subtopic adopted SSAP evidence, but that refuses to Environmental 410-30, Asset 67. Superfund is acknowledge potential involvement Remediation Liabilities Retirement and included in SSAP with respect to the site. Recalcitrant Environmental No. 65 as it potentially responsible parties adopt a Obligations— relates to recalcitrant attitude toward the entire Environmental asbestos and remediation effort even though Obligations. environmental evidence exists that points to their • Add glossary exposures. involvement at a site. Some may adopt link to the As this is a this attitude out of ignorance of the definition of the Glossary link law; others may do so in the hope that Master Glossary only, no action they will be considered a nuisance and term Potentially needed. therefore ignored. Typically, parties in Responsible this category must be sued in order to Party. collect their allocable share of the remediation liability; however, it may be that it is not economical to bring such suits because the parties’ assets are limited. This category of potentially responsible parties is also referred to as nonparticipating potentially responsible parties. Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation Reload Transaction A reload transaction is a sale of a new AICPA Statement of • Add glossary 49 SOP 04-2 interval that should be treated as a Position 04-2, link to Subtopic deemed not separate transaction for accounting Accounting for Real 978-605, Real applicable. purposes. Estate Time-Sharing Estate—Time- As this is a Transactions Sharing Glossary link Activities— only, no action Revenue needed. Recognition. Stop-Loss Insurance A contract in which an entity agrees to AICPA Audit and • Add glossary 50–53 HCO Audit indemnify providers for certain health Accounting Guide, links to: Guide rejected in care costs incurred by members. Health Care o Subtopic SSAP 73. As this Organizations (2008) 954-450, is a Glossary link Health Care only, no action Entities— needed. Contingencies o Subtopic 954-720, Health Care Entities— Other Expenses. Unknown Potentially A party that has liability with respect AICPA Statement of • Add glossary 46 and 47 SOP 96-1 Responsible Party to a Superfund site, but that has not yet Position 96-1, link to Subtopic adopted in SSAP been identified as a potentially Environmental 410-30, Asset 67. Superfund is responsible party by the Environmental Remediation Liabilities Retirement and included in SSAP Protection Agency or by an analogous Environmental No. 65 as it state agency. Obligations— relates to Environmental asbestos and Obligations. environmental exposures. As this is a Glossary link only, no action needed. Unproven Potentially A party that has been identified as a AICPA Statement of Add glossary 46 and 47 SOP 96-1 Responsible Party potentially responsible party for a Position 96-1, link to Subtopic adopted in SSAP Appendix A – 2015- 50 Chart of Corrections

Section B–Same Source Literature: Master Glossary Term Master Glossary Definition Source Literature of Description of Related Paragraphs in Update SAP Status/ Term Changes Recommendation Superfund site by the U.S. Environmental 410-30, Asset 67. Superfund is Environmental Protection Agency or Remediation Liabilities Retirement and included in SSAP by an analogous state agency, but that Environmental No. 65 as it does not acknowledge potential Obligations— relates to involvement with respect to the site Environmental asbestos and because no evidence has been Obligations. environmental presented linking the party to the site. exposures. Also referred to as a hiding-in-the- As this is a weeds potentially responsible party. Glossary link only, no action needed. Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation Cash Equivalents Cash equivalents are FASB Statement No. 95, • Add glossary links to: 54–57 FAS 95 rejected short-term, highly liquid Statement of Cash Flows o Subtopic 320-10, in SSAP 69. investments that have Investments—Debt and Cash equivalents both of the following Equity Securities— included in SSAP characteristics: Overall 2 with only o Subtopic 715-20, difference that a. Readily convertible Compensation— SSAP 2 does not to known amounts of Retirement Benefits— include list of cash Defined Benefit Plans— examples. b. So near their General As this is a maturity that they o Subtopic 830-230, Glossary link present insignificant risk Foreign Currency only, no action of changes in value Matters—Statement of needed. because of changes in Cash Flows. interest rates.

Generally, only investments with original maturities of three months or less qualify under that definition. Original maturity means original maturity to the entity holding the investment. For example, both a three-month U.S. Treasury bill and a three- year U.S. Treasury note purchased three months from maturity qualify as cash equivalents. However, a Treasury note purchased three years ago does not become a cash Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation equivalent when its remaining maturity is three months. Examples of items commonly considered to be cash equivalents are Treasury bills, commercial paper, money market funds, and federal funds sold (for an entity with banking operations). Conduit Debt Securities Certain limited- FASB Statement No.126, • Add glossary link to 58 and 59 FAS 126 rejected obligation revenue Exemption from Certain Subtopic 855-10, in SSAP 100. bonds, certificates of Required Disclosures Subsequent Events— As this is a participation, or similar about Financial Overall. Glossary link debt instruments issued Instruments for Certain only, no action by a state or local Nonpublic Entities needed. governmental entity for the express purpose of providing financing for a specific third party (the conduit bond obligor) that is not a part of the state or local government’s financial reporting entity. Although conduit debt securities bear the name of the governmental entity that issues them, the governmental entity often has no obligation for such debt beyond the resources provided by a lease or loan agreement with the third party on Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation whose behalf the securities are issued. Further, the conduit bond obligor is responsible for any future financial reporting requirements. Lump-Sum Contract See Fixed-Price AICPA Statement of • Add glossary link to 60 and 61 SOP 81-1 Contracts Position 81-1, Accounting Subtopic 910-10, deemed not for Performance of Contractors—Construction applicable. Construction-Type and —Overall. As this is a Certain Production-Type Glossary link Contracts only, no action needed. Natural Expense A method of grouping Glossary of AICPA Audit • Add glossary link to: 62–64 Not-for-profit is Classification expenses according to and Accounting Guide, o Subtopic 958-205, Not- not considered for the kinds of economic Not-for-Profit for-Profit Entities— SAP, therefore, benefits received in Organizations (2008) Presentation of Financial not included in incurring those expenses. Statements SAP. Examples of natural o Subtopic 958-720, Not- As this is a expense classifications for-Profit Entities—Other Glossary link include salaries and Expenses. only, no action wages, employee needed. benefits, supplies, rent, and utilities. Noncontribu-tory Plan A pension plan under FASB Statement No. 35, • Amend definition to refer 65–67 FAS 35 deemed which participants do not Accounting and to other postretirement not applicable. make contributions. Reporting by Defined benefits as well as pensions. SAP addresses Benefit Pension Plans • Add glossary link to other Subtopic 965-10, Plan postretirement Accounting—Health and benefits and Welfare Benefit Plans— pensions Overall. separately. No change needed. Pension Fund The assets of a pension FASB Statement No. 35, • Add glossary link to the 68 and 69 FAS 35 deemed plan held by a funding Accounting and definition of the Master not applicable. agency. Reporting by Defined Glossary term Vested Glossary link Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation Benefit Pension Plans Benefits. only. No change needed. Plan Assets (Definition 1) Assets—usually stocks, FASB Statement No. 106, • Add glossary link to: 70–79 FAS 106 adopted bonds, and other Employers’ Accounting o Subtopic 965-20, Plan with modification investments (except for Postretirement Accounting—Health and in SSAP 92. As certain insurance Benefits Other Than Welfare Benefit Plans— this is a Glossary contracts as noted in Pensions Net Assets Available for link only, no paragraph 715-60-35- Plan Benefits action needed. 109)—that have been o Subtopic 965-30, Plan segregated and restricted Accounting—Health and (usually in a trust) to be Welfare Benefit Plans— used for postretirement Plan Benefit Obligations benefits. The amount of o Subtopic 965-205, Plan plan assets includes Accounting—Health and amounts contributed by Welfare Benefit Plans— the employer, and by Presentation of Financial plan participants for a Statements contributory plan, and o Subtopic 965-310, Plan amounts earned from Accounting—Health and investing the Welfare Benefit Plans— contributions, less Receivables benefits, income taxes, o Subtopic 965-325, Plan and other expenses Accounting—Health and incurred. Plan assets Welfare Benefit Plans— ordinarily cannot be Investments—Other withdrawn by the o Subtopic 965-360, Plan employer except under Accounting—Health and certain circumstances Welfare Benefit Plans— when a plan has assets in Property, Plant, and excess of obligations and Equipment. the employer has taken certain steps to satisfy existing obligations. Securities of the employer held by the plan are includable in Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation plan assets provided they are transferable. Assets not segregated in a trust, or otherwise effectively restricted, so that they cannot be used by the employer for other purposes postretirement benefits. Those assets shall be accounted for in the same manner as other employer assets of a similar nature and with similar restrictions. If a plan has liabilities other than for benefits, those nonbenefit obligations are considered as reductions of plan assets. Amounts accrued by the employer but not yet paid to the plan are not plan assets. If a trust arrangement explicitly provides that segregated assets are available to satisfy claims of creditors in bankruptcy, such a provision would effectively permit those assets to be used for other purposes at the discretion of the employer. It is not necessary to determine Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation that a trust is bankruptcy-proof for the assets of the trust to qualify as plan assets. However, assets held in a trust that explicitly provides that such assets are available to the general creditors of the employer in the event of the employer’s bankruptcy would not qualify as plan assets. Plan Assets (Definition 2) Assets—usually stocks, FASB Statement No.87, • Add glossary link to: 80–85 FAS 87 adopted bonds, and other Employers’ Accounting o Subtopic 715-30, with modification investments—that have for Pensions Compensation— in SSAPs 92 and been segregated and Retirement Benefits— 102. Glossary restricted, usually in a Defined Benefit Plans— links only. No trust, to provide for Pension action needed. pension benefits. The o Subtopic 960-20, Plan amount of plan assets Accounting—Defined includes amounts Benefit Pension Plans— contributed by the Accumulated Plan employer, and by Benefits employees for a o Subtopic 960-30, Plan contributory plan, and Accounting—Defined amounts earned from Benefit Pension Plans— investing the Net Assets Available for contributions, less Plan Benefits benefits paid. Plan assets o Subtopic 960-205, Plan ordinarily cannot be Accounting—Defined withdrawn by the Benefit Pension Plans— employer except under Presentation of Financial certain circumstances Statements. when a plan has assets in excess of obligations and Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation the employer has taken certain steps to satisfy existing obligations. Assets not segregated in a trust or otherwise effectively restricted so that they cannot be used by the employer for other purposes are not plan assets even though it may be intended that such assets be used to provide pensions. If a plan has liabilities other than for benefits, those nonbenefit obligations may be considered as reductions of plan assets. Amounts accrued by the employer but not yet paid to the plan are not plan assets. Securities of the employer held by the plan are includable in plan assets provided they are transferable. Spending Rate The portion of total AICPA Audit and • Add glossary links to: 86–90 Not-for-profit is return on investments Accounting Guide, Not- o Subtopic 958-205, Not- not considered for used for fiscal needs of for-Profit Organizations for-Profit Entities— SAP, therefore, the current period, (2008) Presentation of Financial not included in usually used as a Statements SAP. budgetary method of o Subtopic 958-320, Not- No action needed. reporting returns of for-Profit Entities— investments. It is usually Investments—Debt and measured in terms of an Equity Securities. amount or a specified Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation percentage of a moving average market value. Typically, the selection of a spending rate emphasizes the use of prudence and a systematic formula to determine the portion of cumulative investment return that can be used to support fiscal needs of the current period and the protection of endowment gifts from a loss of purchasing power as a consideration in determining the formula to be used. Spot Rate The exchange rate for FASB Statement No. 52, • Add glossary links to: 91–99 FAS 52 rejected immediate delivery of Foreign Currency o Subtopic 815-10, in SSAPs 23 and currencies exchanged. Translation Derivatives and Hedging 31. As this is a —Overall Glossary link o Subtopic 815-20, only, no action Derivatives and Hedging needed. —Hedging— General o Subtopic 815-25, Derivatives and Hedging —Fair Value Hedges o Subtopic 815-30, Derivatives and Hedging —Cash Flow Hedges o Subtopic 815-35, Derivatives and Hedging —Net Investment Hedges o Subtopic 926-20, Appendix A – 2015- 50 Chart of Corrections

Section B–Different Source Literature: Master Glossary Term Master Glossary Source Literature of Description of Changes Related Paragraphs in Update SAP Status/ Definition Term Recommendation Entertainment—Films— Other Assets—Film Costs o Subtopic 946-830, Financial Services— Investment Companies— Foreign Currency Matters. Written Notice of Any capital stock, AICPA Statement of • Add glossary links to: 100–102 SOP 85-3 Allocation revolving fund Position 85-3, Accounting o Subtopic 905-325, deemed not certificate, retain by Agricultural Producers Agriculture—Investments applicable. certificate, certificate of and Agricultural —Other As this is a indebtedness, letter of Cooperatives o Subtopic 905-505, Glossary link advice, or other written Agriculture—Equity. only, no action notice to the recipient needed. that states the dollar amount allocated to the patron by the cooperative and the portion that constitutes a patronage dividend. Appendix A – 2015- 50 Chart of Corrections

Section C: Amendments Related to Duplicate Master Glossary Terms

The following table summarizes the amendments to the Master Glossary in this section. The amendments are presented in alphabetical order by Master Glossary term, and the table lists the Subtopics in which the terms are used, describes the changes to the terms, and provides the definition for the terms. For ease of reference, duplicate terms are numbered by the order in which their definitions appear in the online version of the Codification.

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Actuarial The value, as of a specified 715-30 • Supersede The value, as of a specified date, of 105–109 Source docs FAS 87 Present Valuedate, of an amount or series of Definition 2; an amount or series of amounts and 88 adopted with (Definition 1) amounts payable or receivable replace all links payable or receivable thereafter, modification in thereafter, with each amount with links to with each amount adjusted to reflect SSAPs 8, 89, 92 and adjusted to reflect the time Definition 1. the time value of money (through 102. value of money (through discounts for interest) and the Term used in SSAPs discounts for interest) and the probability of payment (by means 92 and 102, but not probability of payment (by of decrements for events such as defined. means of decrements for death, disability, withdrawal, or events such as death, retirement) between the specified No action needed. disability, withdrawal, or date and the expected date of retirement) between the payment. specified date and the expected date of payment. Actuarial The value, as of a specified 715-60 Present Valuedate, of an amount or series of (Definition 2) amounts payable or receivable thereafter, with each amount adjusted to reflect the time value of money (through discounts for interest) and the probability of payment (for example, by means of decrements for events such as Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update death, disability, or withdrawal) between the specified date and the expected date of payment. Amortization The process of reducing a 715-60 • Amend Definition The process of reducing a 110–116 Source doc FSP FAS (Definition 1) recognized liability 1 to include recognized liability systematically 106-, adopted with systematically by recognizing pension by recognizing revenues gains or by modification in INT revenues or by reducing a information. reducing a recognized asset 04-17. No change in recognized asset • Supersede systematically by recognizing info, only definition in systematically by recognizing Definition 2; expe nses or costs lo s s es. In Master Glossary. expenses or costs. In replace all links accounting for p e nsion benefits or Definition not in SAP. accounting for postretirement with links to oth e r postretirement benefits, No changes needed. benefits, amortization also Definition 1. amortization also means the means the systematic systematic recognition in net recognition in net periodic periodic pension cost or other postretirement benefit cost postretirement benefit cost over over several periods of several periods of amounts amounts previously recognized previously recognized in other in other comprehensive comprehensive income, that is, income, that is, gains or losses, gains or losses, prior service cost or prior service cost or credits, credits, and any transition and any transition obligation obligation or asset. or asset. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Amortization The process of reducing a 715-30 (Definition 2) recognized liability systematically asset systematically by recognizing expenses or costs. In pension accounting, amortization is also used to refer to the systematic recognition in net pension cost over several periods of amounts previously recognized in other comprehensive income, that is, prior service costs or credits, gains or losses, and the by recognizing revenues or reducing a recognized transition asset or obligation existing at the date of initial application of Subtopic 715- 30. Assumptions Estimates of the occurrence of 715-60 • Amend Definition Estimates of the occurrence of 117–121 Source docs FAS 87 (Definition 1) future events affecting 1 to include future events affecting pension costs and FAS 106 adopted postretirement benefit costs, pension and other postretirement benefit with modification in such as turnover, retirement information. costs (as applic a ble), such as SSAPs 8, 89, 92, and age, mortality, dependency • Supersede turnover, retirement age, mortality, 102. Definition not status, per capita claims costs Definition 2; w i th d r a w a l , disablement, included in SAP. by age, health care cost trend replace all links dependency status, per capita claims No change needed. rates, levels of Medicare and with links to costs by age, health care cost trend other health care providers’ Definition 1. rates, levels of Medicare and other reimbursements, and discount health care providers’ rates to reflect the time value reimbursements, changes in of money. compensation and national pension Assumptions Estimates of the occurrence of 715-30 benefits, and discount rates to (Definition 2) future events affecting pension reflect the time value of money. costs, such as mortality, Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update withdrawal, disablement and retirement, changes in compensation and national pension benefits, and discount rates to reflect the time value of money. Attribution The process of assigning 715-60 • Amend The process of assigning pension or 122–127 Source docs FAS 87 (Definition 1) postretirement benefit cost to Definition 1 to oth e r postretirement b enefit benefits and FAS 106 adopted periods of employee service. include pension or costs cost to periods of employee with modification in Attribution The process of assigning 715-30 information. service. SSAPs 8, 89, 92, and (Definition 2) pension benefits or cost to • Supersede 102. SAP has pension periods of employee service. Definition 2; and postretirement replace all links separate, therefore, no with links to change needed. Definition 1. Benefits Payments to which 960-10, 960-20, 960-30, • Amend The monetary or in-kind benefits or 128–174 Source docs FAS 87, (Definition 1) participants may be entitled 960-205, 960-325, 960- Definition 3 to benefit coverage to which 88 and FAS 106 under a pension plan, 360 include participants may be entitled under a adopted with including pension benefits, information pension plan or oth e r postretirement modification in SSAPs disability benefits, death specific to benefit plan, including health care 8, 89, 92, and 102. benefits, and benefits due on health and benefits, life insurance, not Source dco FSP FAS termination of employment. welfare plans pr ovided through a pension plan, 106-2 adopted with Benefits Payments to which 715-30 and pension and legal, educational, and advisory modification in INT (Definition 2) participants may be entitled plans. services, pension benefits, disability 04-17. Source doc under a pension plan, benefits, death benefits, and be n efits EITF 06-04 adopted in including pension benefits, • Supersede due to terminati o n of empl o y ment. SSAP 92. EITF 06-10 death benefits, and benefits Definitions 1 rejected in SSAP 21. due on termination of and 2; replace SAP has pension and employment. all links with postretirement Benefits The monetary or in-kind 715-60 links to separate, therefore, no (Definition 3) benefits or benefit coverage to Definition 3. change needed. which participants may be entitled under a postretirement • Add glossary benefit plan, including health links to Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update care benefits, life insurance Subtopics: not provided through a pension • 962-10, Plan plan, and legal, educational, Accounting— and advisory services. Defined Contribution Pension Plans — Overall • 962-40, Plan Accounting— Defined Contribution Pension Plans — Terminating Plans • 962-205, Plan Accounting— Defined Contribution Pension Plans — Presentation of Financial Statements • 962-325, Plan Accounting— Defined Contribution Pension Plans — Investments — Other • 965-10, Plan Accounting— Health and Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Welfare Benefit Plans —Overall • 965-20, Plan Accounting— Health and Welfare Benefit Plans —Net Assets Available for Plan Benefits • 965-30, Plan Accounting— Health and Welfare Benefit Plans —Plan Benefit Obligations • 965-40, Plan Accounting— Health and Welfare Benefit Plans — Terminating Plans • 965-205, Plan Accounting— Health and Welfare Benefit Plans — Presentation of Financial Statements Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update • 965-325, Plan Accounting— Health and Welfare Benefit Plans — Investments — Other. Contributory A pension plan under which 960-205 • Supersede A plan under which retirees or 175–180 Source docs FAS 35 Plan (Definitionparticipants bear part of the Definitions 1 active employees contribute part of deemed not 1) cost. and 3; replace the cost. In some contributory plans, applicable and FAS Contributory A plan under which retirees or 715-60 all links with retirees or active employees wishing 106 adopted with Plan (Definitionactive employees contribute links to to be covered must contribute; in modification in 2) part of the cost. In some Definition 2. other contributory plans, SSAPs 8, 89, 92, and contributory plans, retirees or • Add glossary participants’ contributions result in 102. SAP has pension active employees wishing to link to Subtopic increased benefits. and postretirement be covered must contribute; in 965-10, Plan separate, and other contributory plans, Accounting— definition not participants’ contributions Health and included. No change result in increased benefits. Welfare Benefit needed. Contributory A pension plan under which 715-30 Plans—Overall. Plan (Definitionemployees contribute part of 3) the cost. In some contributory plans, employees wishing to be covered must contribute; in other contributory plans, employee contributions result in increased benefits. Cost Approach A valuation technique that 820-10 • Supersede A valuation technique that reflects 181–184 Definition 1 from FAS (Definition 1) reflects the amount that would Definition 2. the amount that would be required 157 adopted with be required currently to • Definition 1 currently to replace the service modification in SSAP replace the service capacity of would remain capacity of an asset (often referred 100, para. 17c. SSAPs an asset (often referred to as unchanged. to as current replacement cost). 92 and 102 address current replacement cost). attribution Cost ApproachOne of the two groups of basic 715-30 individually. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update (Definition 2) approaches to attributing ASU 2011-04 pending pension benefits or costs to SAP review. No periods of service. Approaches change needed. in this group assign net pension costs to periods as level amounts or constant percentages of compensation (that is, a cost-compensation approach). See Benefit Approach for the other group of basic approaches to attributing pension benefits. Defined Benefit Defined benefit health and 965-10, 965-30, 965- • Amend Defined A defined benefit plan provides 185–214 Source docs: Health and welfare plans specify a 205 Benefit Plan to participants with a determinable ASU 2012-04–Reject Welfare Plans determinable benefit, which incorporate benefit based on a formula provided FAS 35–N/A may be in the form of a elements specific for in the plan. FAS 87–Adopt/M reimbursement to the covered to defined benefit a. Defined benefit health and FAS 88–Adopt/M plan participant or a direct pension plans, w elfa r e plans—Defined benefit FAS 106–Adopt/M payment to providers or third- defined benefit health a n d w elf a re plans specify a SOP 92-6–N/A party insurers for the cost of postretirement determinable benefit, w hich m a y SOP 99-2–N/A specified services. Such plans plans, and defined be in the form of a reimbursement EITF 88-01–Adopt may also include benefits that benefit health and t o the covered plan participant or EITF 91-07–Adopt are payable as a lump sum, welfare plans. a direct p a y ment to providers or EITF 03-04–Adopt/M such as death benefits. The • Supersede Defined thir d - par t y insurers for the cost level of benefits may be Benefit Health and of specified services. Such plans Defined benefit plan defined or limited based on Welfare Plans, m a y also include benefits that are definition paraphrased factors such as age, years of Defined Benefit p a y able as a lu m p sum, such as in SSAP 92. No change service, and salary. Pension Plan death benefits. The level of needed. Contributions may be (Definitions 1 and benefits m a y be defined or determined by the plan’s 2), and Defined limited based on factors such as actuary or be based on Benefit age, y e a rs of service, and salar y . premiums, actual claims paid, Postretirement Contributions m a y be determined hours worked, or other factors Plan; replace all b y the plan’s actuary or be based determined by the plan links with links to o n premiums, actual claims paid, sponsor. Even when a plan is hours w o rked, or other factors Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update funded pursuant to agreements Defined Benefit determi n ed b y the plan sponsor. that specify a fixed rate of Plan. Even w h en a plan is funded employer contributions (for • Add Master p u rsuant to agreements th a t example, a collectively Glossary links to specify a f i xed r a te of empl o y e r bargained multiemployer Subtopics: contributions (for example, a plan), such a plan may o 965-325, Plan collect i v ely bargained nevertheless be a defined Accounting— multiemplo y e r plan), such a plan benefit health and welfare plan Health and Welfare m a y never t heless be a defined if its substance is to provide a Benefit Plans— benefit health a n d w elf a re plan if defined benefit. Investments— its substance is to provide a Defined BenefitA pension plan that specifies a 960-10, 960-20, 960-30, Other. defined benefit. Pension Plandeterminable pension benefit, 960-40, 960-205, 960- o 980-715, Regulated b. Defined benefit pension plan—A (Definition 1) usually based on factors such 310, 960-325, 960-360 Operations— pension plan that defines an as age, years of service, and Compensation— amo u nt of pension benef i t to be salary. This includes plans that Retirement provided, usually as a function of may be funded pursuant to Benefits. one o r more factors such as age, periodic agreements that y e a rs of service, or compensation. specify a fixed rate of A n y pension plan that is not a employer contributions (for defi n ed contr i b u ti o n pension example, a collectively plan is, for purposes of Subtopic bargained multiemployer 715-30, a defined benefit pension plan). For example, this plan. includes plans that prescribe a c. Defined benefit postretirement scale of benefits and plan—A plan that defines experience indicates or it is postretirement benefits in terms expected that employer of moneta r y amounts (for contributions are or will be example, $100,000 of life periodically adjusted to enable insurance) or benefit coverage to such stated benefits to be be provided (f or example, up maintained. Further, a plan t o$200 per d a y f or that is subject to the Employee hospitalization, o r80 percent of Retirement Income Security t he cost of specified surgical Act of 1974 and considered to procedures). A n y postretirement be a defined benefit pension benefit plan that i s not a defined plan under the Act is a defined contribution postretirement plan Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update benefit pension plan. is, for purposes of Subtopic 715- Defined BenefitA pension plan that defines an 715-30 60, a defined benefit Pension Planamount of pension benefit to postretirement plan. (Specified (Definition 2) be provided, usually as a moneta r y amou n ts and benefit function of one or more factors coverage are collect i v ely referred such as age, years of service, to as benefits.) or compensation. Any pension plan that is not a defined contribution pension plan is, for purposes of Subtopic 715- 30, a defined benefit pension plan. Defined BenefitA defined benefit plan N/A Plan provides participants with a determinable benefit based on a formula provided for in the plan. Defined BenefitA plan that defines 715-60 Postretirement postretirement benefits in Plan terms of monetary amounts (for example, $100,000 of life insurance) or benefit coverage to be provided (for example, up to $200 per day for hospitalization, or 80 percent of the cost of specified surgical procedures). Any postretirement benefit plan that is not a defined contribution postretirement plan is, for purposes of Subtopic 715-60, a defined benefit postretirement plan. (Specified monetary amounts and benefit coverage are Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update collectively referred to as benefits.) Defined Defined contribution health 965-10, 965-205 • Amend Defined A plan that provides an individual 215–224 Source docs: Contribution and welfare plans maintain an Contribution Plan account for each participant and ASU 2013-07–Reject Health and individual account for each to incorporate provides benefits that are based on FAS 106–Adopt/M Welfare Plans plan participant. They have elements specific all of the following: a. Amo unts FAS 132R–Adopt/M terms that specify the means of to defined amounts contributed to the SOP 92-6–N/A determining the contributions contribution participant’s account by the SOP 94-4–N/A to participants’ accounts, postretirement employer or emplo yee e m ployee; b. EITF 86-27–N/A rather than the amount of plans and defined Investment investment expe rience EITF 03-02–Reject benefits the participants are to contribution health exp eri ence; c. Any and a n y AAG and QA106 not receive. The benefits a plan and welfare plans. forfeitures allocated to the account, reviewed for SAP. participant will receive are • Supersede Defined less any administrative expenses limited to the amount Contribution charged to the plan. Paraphrased definitions contributed to the participant’s Health and a. Defined contribution health and in SSAPs 92 and 102. account, investment Welfare Plans and w elfare plans—Defined experience, expenses, and any Defined contribution health and w elfare forfeitures allocated to the Contribution pla n s maintain an individual participant’s account. These Postretirement account for each plan participant. plans also include flexible Plan; replace all Th e y have terms that specify the spending arrangements. links with links to m ea n s of determining t h e Defined A plan that provides an 715-30, 715-60, 715-70, Defined contributions to participants’ Contribution individual account for each 962-10, 962-40, 962- Contribution Plan. accounts, rather than the amo u nt of Plan participant and provides 205, 962-325, 965-325 • Add glossary link to benefits the participants are t o benefits that are based on all of Subtopic 965-325, receive. The benefits a plan the following: Plan Accounting— participant w ill receive are limited a. Amounts contributed to the Health and Welfare to the amount contributed to t h e participant’s account by the Benefit Plans— participant’s account, investment employer or employee Investments—Other. exp e rience, expenses, and an y b. Investment experience forfeitures allocated to the c. Any forfeitures allocated to participant’s account. These plans the account, less any also include flexible spending administrative expenses arran g ements. charged to the plan. b. Defined contribution Defined A plan that provides 715-70 postretirement plan—A plan that Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Contribution postretirement benefits in provides postretirement benefits in Postretirement return for services rendered, return for s er v i c es rende r ed, Plan provides an individual account provi d es an individual account for for each plan participant, and each plan participant, and specifies specifies how contributions to how contributions to the the individual’s account are to individual’s account are to b e be determined rather than determined r ath e r than specifies specifies the amount of the amount of be n efits the benefits the individual is to individual is to receive. Under a receive. Under a defined defined contribution postretirement contribution postretirement plan, the benefits a plan participant plan, the benefits a plan w ill receive depend sole l y on the participant will receive depend amount contributed to t h e plan solely on the amount participant’s account, the returns contributed to the plan e a rned o n investments of those participant’s account, the contributions, and the forfeitu r es returns earned on investments of other plan participants’ benefits of those contributions, and the that m a y be allocated to that plan forfeitures of other plan participant’s account. participants’ benefits that may be allocated to that plan participant’s account. Discount Rate The interest rate used to adjust 715-30 • Amend Discount The rat es A rate or rates used to 225–231 Source docs: for the time value of money. Rate to include the reflect the time value of money. FAS 87–Adopt/M See Actuarial Present Value. definition of Discount rates are used in FAS 106–Adopt/M Discount Rates The rates used to reflect the 715-60 Discount Rates determining the present value as of QA 106 not reviewed time value of money. Discount and include the measurement date of future cash for SAP. rates are used in determining pension obligation. flows currently expected to be the present value as of the Supersede the required to satisfy the pension Term used in SSAPs measurement date of future original Discount obligation or other postretirement 92 and 102. No change cash flows currently expected Rates. benefit obligation. See Actuarial needed. to be required to satisfy the Present Value. postretirement benefit obligation. See Actuarial Present Value. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Enhanced- See Enhanced-Yield Bonus N/A • Retain glossary See Enha nced- Yield Bon us. A 232–237 Source docs: Crediting-Rate term Enhanced- sales inducement in which the SOP 03-1 rejected in Bonus Crediting-Rate insurance enti t y offers customers a SSAP 56. Enhanced-Yield A sales inducement in which 944-20, 944-30, 944-40 Bonus, but use cre d iting rate for a stated period in Bonus the insurance entity offers definition from excess of that current l y being customers a crediting rate for a Enhanced-Yield offered f or other similar contracts. stated period in excess of that Bonus. currently being offered for • Supersede the other similar contracts. term Enhanced- Yield Bonus; replace the term Enhanced-Yield Bonus with the term Enhanced- Crediting-Rate Bonus in the Master Glossary definition of the term Sales Inducements. • Replace all links to the term Enhanced-Yield Bonus with links to the term Enhanced- Crediting-Rate Bonus. Add glossary links to Subtopics: • 944-20, Financial Services— Insurance— Insurance Activities Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update • 944-40, Financial Services— Insurance— Claim Costs and Liabilities for Future Policy Benefits. Exchange An exchange (or exchange 845-10 • Supersede An exchange (or exchange 238–244 Source docs: (Definition 1) transaction) is a reciprocal Definition 2; transaction) is a reciprocal transfer ASU 2010-02–Pending transfer between two entities incorporate between two entities that results in ASU 2014-09–Pending that results in one of the Definition 2 into one of the entity’s acquiring assets APB 29–Adopt/M entity’s acquiring assets or Subtopic 978-10. or services or satisfying liabilities SOP 04-2–N/A services or satisfying liabilities • Definition 1 by surrendering other assets or EITF 93-11–Adopt by surrendering other assets or would remain services or incurring other EITF 01-02–Adopt/M services or incurring other unchanged. obligations. EITF 04-13–N/A obligations. Exchange The trading, by a purchaser of 978-10, 978-605 Definition 1 is included (Definition 2) a time- sharing interval, of that in SSAP 95, para. 3c. time-sharing interval for a Definition 2 is rejected given year for another time in SSAP 40. interval, another location, or No changes. another kind of privilege of ownership. Such trading is often effected through the buyer’s membership in an exchange entity. Many developers also offer an internal exchange program. Buyers typically pay a fee for exchange privileges. Expected Long- An assumption about the rate 715-60 • Supersede An assumption about the rate of 245–249 Source docs: Term Rate of of return on plan assets Definition 2; return on plan assets reflecting the FAS 87–Adopt/M Return on Plan reflecting the average rate of replace all links average rate of earnings expected FAS 106–Adopt/M Assets earnings expected on existing with links to on existing plan assets and expected QA 87 not reviewed (Definition 1) plan assets and expected contributions to the plan during the for SAP. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update contributions to the plan Definition 1. period. during the period. Paraphrased definitions Expected Long-An assumption as to the rate of 715-30 in SSAPs 92 and 102. Term Rate ofreturn on plan assets reflecting No change needed. Return on Planthe average rate of earnings Assets expected on the funds invested (Definition 2) or to be invested to provide for the benefits included in the projected benefit obligation. Expected ReturnAn amount calculated as a 715-60 • Supersede An amount calculated as a basis for 250 Source docs: –255 on Plan Assetsbasis for determining the Definition 2; determining the extent of delayed FAS 106–Adopt/M (Definition 1) extent of delayed recognition replace all links recognition of the effects of changes QA 87 not reviewed of the effects of changes in the with links to in the fair value of plan assets. The for SAP. fair value of plan assets. The Definition 1. expected return on plan assets is expected return on plan assets determined based on the expected Term used in SSAPs is determined based on the long-term rate of return on plan 11, 92 and 102. No expected long-term rate of assets and the market-related value changes needed. return on plan assets and the of plan assets. market-related value of plan assets. Expected ReturnAn amount calculated as a 715-30 on Plan Assetsbasis for determining the (Definition 2) extent of delayed recognition of the effects of changes in the fair value of assets. The expected return on plan assets is determined based on the expected long-term rate of return on plan assets and the market-related value of plan assets. Explicit An approach under which each 715-60 • Supersede An approach under which each 256–259 Source docs: Approach to significant assumption used Definition 1; significant assumption used reflects FAS 87–Adopt/M Assumptions reflects the best estimate of the the best estimate of the plan’s future Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update (Definition 1) plan’s future experience solely replace all links experience solely with respect to Phrase/term used in with respect to that with links to that assumption. See Implicit SSAP 102. No change assumption. Definition 2. Approach to Assumptions. needed. Explicit An approach under which each 715-30 Approach to significant assumption used Assumptions reflects the best estimate of the (Definition 2) plan’s future experience solely with respect to that assumption. See Implicit Approach to Assumptions. Front-End SalesSee Front-End Sales Fee. N/A • Rename the term A sales commission or charge 260–265 Source docs: Load Front-End Sales payable at the time of purchase of EITF 85-24–N/A Front-End SalesA sales commission payable 946-605 Fee to Front-End mutual fund shares. Fee at the time of purchase of Load. Term not used. mutual fund shares. • Supersede the No change needed. term Front-End Sales Load. • Replace all links to the term Front- End Sales Fee with links to the term Front-End Load. Add glossary link to Subtopics: • 946-10, Financial Services— Investment Companies— Overall. • 946-20, Financial Services— Investment Companies— Investment Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Company Activities. Funding Policy The program regarding the 960-205, 960-310 • Amend Definition 3 The program regarding the amounts 266–273 Source Docs: (Definition 1) amounts and timing of to include pension and timing of contributions by the FAS 35–N/A contributions by the plans. employers, plan participants, and employer(s), participants, and • Supersede any other sources (f o r example, Phrase not in SAP. No any other sources (for Definitions 1 and state, subsidies or federal grants) to change needed. example, state subsidies or 2; replace all links provide the benefits a pension plan federal grants) to provide the with links to or other postretirement benefit plan benefits a pension plan Definition 3. specifies. specifies. Funding Policy The program regarding the 715-30 (Definition 2) amounts and timing of contributions by the employer(s), participants, and any other sources (for example, state subsidies or federal grants) to provide the benefits a pension plan specifies. Funding Policy The program regarding the 715-60 (Definition 3) amounts and timing of contributions by the employers, plan participants, and any other sources to provide the benefits a postretirement benefit plan specifies. Gain or LossA change in the value of either 715-60 • Amend Definition A change in the value of either the 274–281 Source docs: (Definition 1) the accumulated 1 to include accum ulated postretirement benefit FAS 87–Adopt/M postretirement benefit pension obligation (projected benefit FAS 88–Adopt/M obligation or the plan assets information. obligation for pension plans or FAS 106–Adopt/M resulting from experience • Supersede accumulated postretirement b enefit QA 87 not reviewed different from that assumed or obligation for ot h er postretirement for SAP. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update from a change in an actuarial Definition 2; b enefit plans) or the plan assets assumption, or the replace all links resulting from experience different Paraphrased in SSAP consequence of a decision to with links to from that assumed or from a change 92 para. 46 and SSAP temporarily deviate from the Definition 1. in an actuarial assumption, or the 102 para 19. substantive plan. Gains or consequence of a decision to No change needed. losses that are not recognized temporarily deviate from the other in net periodic postretirement postretirement b enefit substantive benefit cost when they arise plan. Gains or losses that are not are recognized in other recognized in net periodic pension comprehensive income. Those cost or net periodic postretirement gains or losses are benefit cost when they arise are subsequently recognized as a recognized in other comprehensive component of net periodic income. Those gains or losses are postretirement benefit cost subsequently recognized as a based on the recognition and component of n e t periodic pension amortization provisions of cost or net periodic postretirement Subtopic 715-60. benefit cost based on the Gain or LossA change in the value of either 715-30 recognition and amortization (Definition 2) the projected benefit provisions of Subtopic 715 - 30 or obligation or the plan assets Subtopic 715-60. resulting from experience different from that assumed or from a change in an actuarial assumption. Gains and losses that are not recognized in net periodic pension cost when they arise are recognized in other comprehensive income. Those gains or losses are subsequently recognized as a component of net periodic pension cost based on the amortization provisions of Subtopic 715-30. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Land See Land Improvement N/A • Retain Land See Lan d Im pro vem en t 282–284 Source docs: Development Costs. Development Costs. Land improvement a n d SOP 85-3–N/A Costs Costs, but use development costs general l y fall Land Land improvement and 905-360 definition from w it h in t w o broad classifications, Phrase not in SAP. No Improvement development costs generally Land permanent and limited- life, change needed Costs fall within two broad Improvement described as follo w s : classifications, permanent and Costs. a. Permanent land development limited- life, described as • Supersede Land costs include the costs of initial follows: Improvement land surv e y s, titles, initial Permanent land development Costs; replace all clearing, and initial leveling. costs include the costs of links to Land b. Limited-life land development initial land surveys, titles, Improvement costs are those that will lose value initial clearing, and initial Costs with links to as time passes or as the land and leveling. Land Development its improvements are used. Costs Limited-life land development Costs. identified as limited-life costs are those that will lose improvements include water value as time passes or as the distribution systems, fencing, and land and its improvements are drainage tile. The useful lives of used. Costs identified as those improvements are limited- life improvements reasonably determinable. include water distribution systems, fencing, and drainage tile. The useful lives of those improvements are reasonably determinable. Market A condition affecting the 718-10, 718-20 • Supersede the A condition affecting the exercise 285–291 Source docs: Condition exercise price, exercisability, Master Glossary price, exercisability, or other FAS 123R–Adopt/M or other pertinent factors used term Market pertinent factors used in EITF 96-18– Adopt/M in determining the fair value of Conditions; determining the fair value of an EITF 00-08–Adopt/M an award under a share-based replace links with award under a share-based payment payment arrangement that links to the Market arrangement that relates to the Used in SSAP 104R, relates to the achievement of Condition. achievement of either of the but not defined. No either of the following: following: change. a. A specified price of the a. A specified price of the issuer’s issuer’s shares or a specified shares or a specified amount of Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update amount of intrinsic value intrinsic value indexed solely to indexed solely to the issuer’s the issuer’s shares shares b. A specified price of the issuer’s b. A specified price of the shares in terms of a similar (or issuer’s shares in terms of a index of similar) equity security similar (or index of similar) (securities). The term similar as equity security (securities). used in this definition refers to an The term similar as used in equity security of another entity this definition refers to an that has the same type of residual equity security of another rights. For example, common entity that has the same type of stock of one entity generally residual rights. For example, would be similar to the common common stock of one entity stock of another entity for this generally would be similar to purpose. the common stock of another entity for this purpose. Market Conditions that relate to 505-50 Conditions achievement of a specified market target, for example, attaining a specified stock price or specified amount of intrinsic value of a stock option. Market-Related A balance used to calculate the 715-30 • Supersede A balance used to calculate the 292–295 Source docs: Value of Planexpected return on plan assets. Definition 2; expected return on plan assets. The FAS 87–Adopt/M Assets The market-related value of replace all links market-related value of plan assets QA 87 not reviewed (Definition 1) plan assets is either fair value with links to is either fair value or a calculated for SAP. or a calculated value that Definition 1. value that recognizes changes in fair recognizes changes in fair value in a systematic and rational Term rejected in value in a systematic and manner over not more than five SSAPs 92 and 102. rational manner over not more years. Different ways of calculating No change needed. than five years. Different ways market-related value may be used of calculating market-related for different classes of assets (for value may be used for example, an employer might use different classes of assets (for fair value for bonds and a five-year- Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update example, an employer might moving-average value for equities), use fair value for bonds and a but the manner of determining five-year- moving-average market-related value is required to value for equities), but the be applied consistently from year to manner of determining year for each asset class. For a market- related value is method to meet the criteria of being required to be applied systematic and rational, it must consistently from year to year reflect only the changes in the fair for each asset class. For a value of plan assets between various method to meet the criteria of dates. being systematic and rational, it must reflect only the changes in the fair value of plan assets between various dates. Market-Related A balance used to calculate the Value of Planexpected return on plan assets. Assets The market-related value of (Definition 2) plan assets shall be either fair value or a calculated value that recognizes changes in fair value in a systematic and rational manner over not more than five years. Different methods of calculating market- related value may be used for different classes of assets (for example, an employer might use fair value for bonds and a five-year-moving-average value for equities), but the manner of determining market-related value shall be applied consistently from year to year for each class of plan Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update assets. Modification A change in any of the terms 718-10, 718-20, 718-30, • Supersede A change in any of the terms or 296–298Source docs: (Definition 1) or conditions of a share-based 718-50 Definition 2; conditions of a share-based payment FAS 123R–Adopt/M payment award. incorporate award. FTB 97-01–Adopt/M Modification A change in the terms of the 978-310 Definition 2 into FSP FAS 123R-1– (Definition 2) financing agreement between Subtopic 978- Adopt/M buyer and seller, typically to 310. SOP 04-2–N/A accommodate a situation in • Definition 1 which the buyer is unable to remains Definition not used in meet his or her original unchanged. SAP. contractual payment No change needed. obligations. Multiple- A postretirement benefit plan 715-60 • Amend A pension plan or other 299–309 Source docs: Employer Plan maintained by more than one Definition 1 to postretirement benefit plan FAS 87–Adopt/M (Definition 1) employer but not treated as a include pension maintained by more than one FAS 88–Adopt/M multiemployer plan. Multiple- plans. employer but not treated as a FAS 132R–Adopt/M employer plans are generally • Supersede multiemployer plan. Multiple- FAS 158–Adopt/M not collectively bargained and Definition 2; employer plans are generally not are intended to allow replace all links collectively bargained and are Paraphrased in SSAPs participating employers, with links to intended to allow participating 92 and 102. Since SAP commonly in the same Definition 1. employers, commonly in the same addresses these topics industry, to pool their plan industry, to pool their plan assets separately, no change assets for investment purposes for investment purposes and to needed. and to reduce the cost of plan reduce the cost of plan administration. A multiple- administration. A multiple- employer plan maintains employer plan maintains separate separate accounts for each accounts for each employer so that employer so that contributions contributions provide benefits only provide benefits only for for employees of the contributing employees of the contributing employer. Multiple-employer plans employer. Multiple-employer may have features that allow plans may have features that participating employers to have allow participating employers different benefit formulas, with the to have different benefit employer’s contributions to the plan formulas, with the employer’s based on the benefit formula Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update contributions to the plan based selected by the employer. on the benefit formula selected by the employer. Multiple- A pension plan maintained by 715-30 Employer Plan more than one employer but (Definition 2) not treated as a multiemployer plan. Multiple-employer plans are not as prevalent as single- employer and multiemployer plans, but some of the ones that do exist are large and involve many employers. Multiple-employer plans are generally not collectively bargained and are intended to allow participating employers, commonly in the same industry, to pool their assets for investment purposes and reduce the costs of plan administration. A multiple- employer plan maintains separate accounts for each employer so that contributions provide benefits only for employees of the contributing employer. Some multiple- employer plans have features that allow participating employers to have different benefit formulas, with the employer’s contributions to the plan based on the benefit formula selected by the employer. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Net Realizable Estimated selling price in the 330-10 • Amend Definition 2 Valuation of inventories at 305–308 Source docs: Value ordinary course of business to supersede estimated Estimated selling prices SOP 85-3–N/A (Definition 1) less reasonably predictable reference to in the ordinary course of business, AAG not reviewed for costs of completion and inventories. less reasonably predictable costs of SAP. disposal. • Supersede completion, disposal, and Net Realizable Valuation of inventories at 905-310, 905-330 Definition 1; transportation. Term used in SSAPs Value estimated selling prices in the replace all links 24, 40R, 58, 92 and (Definition 2) ordinary course of business, with links to 102. SSAP 40R has less reasonably predictable Definition 2. paraphrased definition. costs of completion, disposal, No change needed. and transportation. Participant Any employee or former 960-20 • Amend Definition 2 Any employee or former employee, 309–313 Source docs: (Definition 1) employee, or any member or to include or any member or former member of FAS 35–N/A former member of a trade or accumulated plan a trade or other employee association, FAS 87–Adopt/M other employee association, or benefits. or the beneficiaries of those FAS 88–Adopt/M the beneficiaries of those • Supersede Definition individuals, for whom there are QA 87 not reviewed individuals, for whom there 1; replace links with pension plan benefits or other for SAP. are accumulated plan benefits. links to Definition accumulated plan benefits. Participant Any employee or former 715-30 2. Term used in SSAPs (Definition 2) employee, or any member or 12, 92, 100, and 102, former member of a trade or but definition not other employee association, or included in SAP. No the beneficiaries of those change needed. individuals, for whom there are pension plan benefits. Annuitization The period during which the 944-30, 944-40 • Supersede See Ann uitiza ti on Phase. T he 314–320 Source docs: Phase contract holder is receiving Annuitization per i od during w hich the contract SOP 03-1 rejected periodic payments from an Phase. holder is receivi n g periodic SOP 05-1 rejected annuity, also referred to as the • Retain Payout p a y men t s from an annui t y , also payout phase. Phase, but use an referred to as the annuitization Terms not used in Payout Phase See Annuitization Phase. N/A amended definition phase. SAP. No change from Annuitization needed. Phase that no longer references Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update payout phase. • Replace Annuitization Phase with the term Payout Phase. • Add glossary link to Subtopic 815- 15, Derivatives and Hedging— Embedded Derivatives. Pension Periodic (usually monthly) 960-10, 960-20, 960-30, • Supersede Periodic (usually monthly) 321–328 Source docs: Benefits payments made to a person 960-205 Definition 1; payments made pursuant to the ASU 2011-09: (Definition 1) who has retired from replace links with terms of the pension plan to a Adopted SSAP 92 & employment. links to Definition person who has retired from 102. Pension Periodic (usually monthly) 715-30, 715-80 2. employment or to that person’s FAS 35: N/A Benefits payments made pursuant to the beneficiary. FAS 87: Adopt/Mod. (Definition 2) terms of the pension plan to a SSAP 92 & 102. person who has retired from SOP 99-2: N/A employment or to that person’s beneficiary. Paraphrased in SSAP 102. No change needed. Phase A parcel on which units are to 970-340, 970-360 • Supersede A contractually or physically 329–334 Definition 1 came from (Definition 1) be constructed concurrently. Definition 1. distinguishable portion of a time FAS 67, which was Phase A contractually or physically 978-10, 978-330, 978- • Amend Definition 2 sharing r e al estate project (i nc luding adopted in SSAP 40, (Definition 2) distinguishable portion of a 340, 978-605 to include all real time-sharing pro j ects). That portion but definition not time-sharing project. That estate projects is distinguishable from other specifically included. portion is distinguishable from previously captured portions based on shared Definition 2 from SOP other portions based on shared under Definition 1. characteristics such as: 04-2, was deemed not characteristics such as: • Replace all links to a. Units a developer has declared applicable. As updated a. Units a developer has declared Definition 1 with or legally registered to be for definition is closer to or legally registered to be for links to Definition 2. sale definition 2, No change Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update sale b. Units linked to an owners needed. b. Units linked to an owners association association c. Units to be constructed during a c. Units to be constructed during particular time period a particular time period d. How a developer plans to build d. How a developer plans to the real estate time-sharing build the time-sharing project. project. Plan (DefinitionAn agreement formulated in 852-10 • Rename Definition An agreement formulated in 335–339 Definitions not 1) Chapter 11 proceedings under 1 Plan of Chapter 11 proceedings under the included in SAP. the supervision of the Reorganization. supervision of the Bankruptcy Court Definition 2 from FAS Bankruptcy Court that enables • Definition 2 would that enables the debtor to continue 106, which was the debtor to continue in remain unchanged. in business. The plan, once adopted in SSAP 14, business. The plan, once confirmed, may affect the rights of has been superseded. confirmed, may affect the undersecured creditors, secured No change needed. rights of undersecured creditors, and stockholders as well creditors, secured creditors, as those of unsecured creditors. and stockholders as well as Before a plan is confirmed by the those of unsecured creditors. Bankruptcy Court, it must comply Before a plan is confirmed by with general provisions of the the Bankruptcy Court, it must Bankruptcy Code. Those provisions comply with general mandate, for example, that the plan provisions of the Bankruptcy is feasible, the plan is in the best Code. Those provisions interest of the creditors, and, if an mandate, for example, that the impaired class does not accept the plan is feasible, the plan is in plan, the plan must be determined to the best interest of the be fair and equitable before it can creditors, and, if an impaired be confirmed. Some times refer red class does not accept the plan, to as a pl an of reorga nization. the plan must be determined to be fair and equitable before it can be confirmed. Sometimes referred to as a plan of reorganization. Plan (DefinitionAn arrangement that is 715-60 2) mutually understood by an Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update employer and its employees, whereby an employer undertakes to provide its employees with benefits after they retire in exchange for their services over a specified period of time, upon attaining a specified age while in service, or a combination of both. A plan may be written or it may be implied by a well- defined, although perhaps unwritten, practice of paying postretirement benefits or from oral representations made to current or former employees. See Substantive Plan. Plan A change in the existing terms 715-60 • Amend Definition 1 A change in the existing terms of a 340–345 Source docs: Amendment of a plan. A plan amendment to include “initiation plan o r the initiation of a new plan. FAS 87 and FAS 106 (Definition 1) may increase benefits (a of a new plan” (from A plan amendment may increase adopt/ modification in positive plan amendment), or Definition 2). benefits (a positive plan SSAPs 14,89, 92 and reduce or eliminate benefits (a • Supersede Definition amendment), or reduce or eliminate 102. negative plan amendment), 2; replace links with benefits (a negative plan including those benefits links to Definition 1. amendment), including those Term used in SSAPs attributed to years of service benefits attributed to years of 92 and 102, but not already rendered. service already rendered. defined. No change Plan A change in the terms of an 715-30 needed. Amendment existing plan or the initiation (Definition 2) of a new plan. A plan amendment may increase benefits, including those attributed to years of service already rendered. Plan An event in which the 715-60 • Amend Definition 1 An event in which the pension plan 346–351 Source docs: Termination postretirement benefit plan to include annuities or postretirement benefit plan FAS 87 and FAS 106 Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update (Definition 1) ceases to exist and all benefits and pension plans. ceases to exist and all benefits are adopt/ modification in are settled by the purchase of • Supersede Definition settled by the purchase of insurance SSAPs 14,89, 92 and insurance contracts or by other 2; replace all links contracts (for example, annuities), 102. means. The plan may or may with links to or by other means. The plan may or not be replaced by another Definition 1. may not be replaced by another Definition paraphrased plan. A plan termination with plan. A plan termination with a in SSAP 92. a replacement plan may or replacement plan may or may not be No change needed. may not be in substance a plan in substance a plan termination for termination for accounting accounting purposes. purposes. Plan An event in which the pension 715-30 Termination plan ceases to exist and all (Definition 2) benefits are settled by purchase of annuities or other means. The plan may or may not be replaced by another plan. A plan termination with a replacement plan may or may not be in substance a plan termination for accounting purposes. Prior Service The cost of benefit 715-60 • Amend Definition The cost of retroactive benefits 352–357 Source docs: Cost (Definition improvements attributable to 2 of Prior Service granted in a plan amendment. FAS 87, FAS 88, FAS 1) plan participants’ prior service Cost to remove Retroactive benefits are benefits 106 adopt/w pursuant to a plan amendment reference to granted in a plan amendment (or modification. or a plan initiation that pensions. initiation) that are attributed by the provides benefits in exchange • Supersede pension benefit formula to Term used in SSAPs for plan participants’ prior Definition 1 of employee services rendered in 11, 92 and 102. service. Prior Service periods before the amendment. Change is making term Prior Service The cost of retroactive benefits 715-30 Cost; replace all applicable to all types Cost (Definition granted in a plan amendment. links with links to of plans. SAP 2) Retroactive benefits are Definition 2. addresses individually. benefits granted in a plan No change needed. amendment (or initiation) that are attributed by the pension Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update benefit formula to employee services rendered in periods before the amendment. Repurchase An agreement under which 860-10 • Amend Definition 2 A repurchase agreement (repo) 358–365 Source docs: Agreement the transferor (repo party) to clarify its refers to a transaction that is ASU 2014-11 pending. (Definition 1) transfers a security to a applicability and accounted for as a collateralized FAS 140 Adopt w/ transferee (repo rename the term borro wi ng in which a seller- modification. counterparty or reverse Repurchase borrower of securities sells those ASU 2011-11, party) in exchange for cash Agreement securities to a buyer-lender with an ASU 2013-01, and and concurrently agrees to Accounted for as a agreement to repurchase them at a FIN 41 all rejected. reacquire that security at a Collateralized stated price plus interest at a future date for an amount Borrowing. specified date or in specified Term used in SSAP equal to the cash exchanged • Replace links to circumstances. A repurchase 103 with both plus a stipulated interest Definition 1 in a gr eement accounted for as a definitions applicable. factor. Instead of cash, other Subtopic 210-20 collateralized borr o w i ng is a repo Bold from Definition 1 securities or letters of credit with links to that d o es not qualify for sale included in para 87. sometimes are exchanged. amended accounting under Topic 860. The Some repurchase agreements Definition 2. payable under a repurchase Definition 2 included call for repurchase of • Replace links to agreement accounted for as a in para. 94 repurchase securities that need not be Definition 2 with collateralized borr o w i ng refers to agreements and para. identical to the securities links to Definition the amount of the seller-borrower’s 106 related to dollar transferred. 1 in Subtopic 940- obligation recognized for the future repurchase Repurchase A repurchase agreement (repo) 210-20, 940-320, 940- 320 and Subtopic repurchase of the securities from the transactions. Agreement refers to a transaction that is 405 940-405. buyer-lender. In certain industries, (Definition 2) accounted for as a • Definition 1 the terminology is reversed; that is, “Secured borrowing” collateralized borrowing in remains entities in those industries refer to used elsewhere instead which a seller-borrower of unchanged. this type of agreement as a reverse of collateralized securities sells those securities repo. borrowing. to a buyer- lender with an agreement to repurchase them Repurchase at a stated price plus interest at transactions currently a specified date or in specified being reviewed as part circumstances. The payable of the Investment under a repurchase agreement Project - No change. refers to the amount of the Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update seller-borrower’s obligation recognized for the future repurchase of the securities from the buyer-lender. In certain industries, the terminology is reversed; that is, entities in those industries refer to this type of agreement as a reverse repo. Service Periods of employment taken 960-10, 960-20, 960- • Supersede Employment taken into 366–375 Sources include FASs (Definition 1) into consideration under a 205, 960-310 Definition 1; consideration under a pension plan. 35, 87, 88, 106, 146, pension plan. replace all links Years of employment before the EITFs 91-07, 03-2, 03- Service Employment taken into 715-30 with links to inception of a plan constitute an 4, 05-05, FIN 46R and (Definition 2) consideration under a pension Definition 2. employee’s past service; years ASUs 2011-09 and plan. Years of employment thereafter are classified in relation 2012-04. Some GAAP before the inception of a plan to the particular actuarial valuation adopted, adopted with constitute an employee’s past being made or discussed. Years of mod. Some rejected, service; years thereafter are employment (including past some not applicable. classified in relation to the service) before the date of a (SSAPs 11, 92, 102 particular actuarial valuation particular valuation constitute prior and 104R.) Definitions being made or discussed. service; years of employment not directly included in Years of employment following the date of the valuation SAP; but implied. No (including past service) before constitute future service; a year of changes needed. the date of a particular employment adjacent to the date of valuation constitute prior valuation, or in which such date service; years of employment falls, constitutes current service. following the date of the valuation constitute future service; a year of employment adjacent to the date of valuation, or in which such date falls, constitutes current service. Single- A postretirement benefit plan 715-60 • Amend A pension plan or other 376–382 Source docs: Employer Plan that is maintained by one Definition 1 to postretirement benefit plan that is ASU 2011-09 adopted Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update (Definition 1) employer. The term also may include pension maintained by one employer. The FAS 87 & FAS 106 be used to describe a plan that plans. term also may be used to describe a adopt w/ modification. is maintained by related parties • Supersede plan that is maintained by related such as a parent and its Definition 2; parties such as a parent and its Change only combines subsidiaries. replace all links subsidiaries. pension and other Single- A pension plan that is 715-30, 715-80 with links to postretirement. SAP Employer Plan maintained by one employer. Definition 1. keeps separate. (Definition 2) The term also may be used to Definition not included describe a plan that is in SAP. No change maintained by related parties needed. such as a parent and its subsidiaries. Sponsor In the case of a pension plan 960-20, 960-30, 960- • Supersede In the case of a pension plan 383–392 Source docs: (Definition 1) established or maintained by a 205 Definition 1; established or maintained by a FAS 35, FAS 68 EITF single employer, the employer; replace all links single employer, the employer; in 99-16: N/A. in the case of a plan established with links to the case of a plan established or FAS 87 Adopted with or maintained by an employee Definition 3. maintained by an employee entity, modification. organization, the employee • Definition 2 would the employee entity; in the case of organization; in the case of a remain unchanged. a plan established or maintained Definitions not plan established or maintained • Add glossary links jointly by two or more employers included in SAP. jointly by two or more to Subtopics: or by one or more employers and Referenced in SSAP 12 employers or by one or more o 962-10, Plan one or more employee entities, the related to ESOP employers and one or more Accounting— association, committee, joint board sponsor, which is not employee organizations, the Defined of trustees, or other group of related to these. No association, committee, joint Contribution representatives of the parties that change needed. board of trustees, or other Pension Plans— have established or that maintain group of representatives of the Overall. the pension plan. parties that have established or o 962-205, Plan that maintain the pension plan. Accounting— Defined Contribution Pension Plans— Presentation of Financial Statements. Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update o 962-325, Plan Accounting — Defined Contribution Pension Plans— Investments— Other. Sponsor An entity that capitalizes a 730-20, 810-30 (Definition 2) research and development arrangement. Sponsor In the case of a pension plan 715-30 (Definition 3) established or maintained by a single employer, the employer; in the case of a plan established or maintained by an employee entity, the employee entity; in the case of a plan established or maintained jointly by two or more employers or by one or more employers and one or more employee entities, the association, committee, joint board of trustees, or other group of representatives of the parties that have established or that maintain the pension plan. Terminating All plans about which a 960-40, 962-40, 965-40 • Supersede All plans about which a termination 393–397 Source docs: Plan (Definitiontermination decision has been Definition 2; decision has been made regardless ASU 2013-07 rejected 1) made regardless of whether the replace all links of whether the terminating plan will terminating plan will be with links to be replaced. Term not included in replaced. Definition 1. SAP. No change Terminating A terminating plan includes all 965-40 needed. Plan (Definitionhealth and welfare benefit 2) plans about which a Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update termination decision has been made regardless of whether the terminating plan will be replaced. Unallocated A contract with an insurance N/A (only definition of • Supersede A contract with an insurance entity 398–401 No source docs. Contract entity under which related Master Glossary term Definition 1; under which payments to the (Definition 1) payments to the insurance Contract Value links to replace link to insurance entity are accumulated in Term not used in SAP. entity are accumulated in an this term) Definition 1 in an unallocated fund (not allocated to No change needed. unallocated fund to be used to definition of specific plan participants) to be meet benefit payments when Master Glossary used either directly or through the employees retire, either term Contract purchase of annuities, to meet directly or through the Value with link to benefit payments when employees purchase of annuities. Funds in Definition 2. retire. Funds held by the insurance an unallocated contract may entity under an unallocated contract also be withdrawn and may be withdrawn and otherwise otherwise invested. invested. Unallocated A contract with an insurance 715-30 Contract entity under which payments (Definition 2) to the insurance entity are accumulated in an unallocated fund (not allocated to specific plan participants) to be used either directly or through the purchase of annuities, to meet benefit payments when employees retire. Funds held by the insurance entity under an unallocated contract may be withdrawn and otherwise invested. Undivided An ownership arrangement in 970-323, 970-810 • Supersede An arrangement in which a seller 402 Undivided interest Interest which two or more parties Definition 2. sells or conveys the right to occupy –405 term used in SSAPs (Definition 1) jointly own property, and title • Amend the a dwelling unit for specified periods 43R, 48, 57 and 58. is held individually to the definition of Time- in the future. Forms of time-sharing Only applicable is extent of each party’s interest. Sharing to include arrangements include but are not SSAP 48, but term is Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update Undivided A time-sharing arrangement N/A (only definition of the information limited to fixed and floating time, not defined. Source Interest that involves a tenant-in- Master Glossary term from Definition 2 interval ownership, undivided doc was SOP 78-9, (Definition 2) common interest in a Time- Sharing links to of Undivided interests, points programs, vacation which was rejected for condominium unit or entire this term) Interest. clubs, right-to-use arrangements SAP. improved property, and in • Definition 1 of such as tenancy-for-years which the interest holder is Undivided Interest arrangements, and arrangements Time sharing used in assigned a specific period would remain involving special-purpose entities. SSAP 40 under (generally, a specific week). unchanged. In this context, a n undivided interest Relevant Literature as The interest holder is also is a time-sharing arran g ement that not applicable to SAP. assigned a specific unit if the involves a tenant-in- common undivided interest is in the interest in a condominium unit or No change needed. entire improved property. entire improved proper t y , and in Time-Sharing An arrangement in which a 972-10, 976-10, 978-10, w hich the interest holder is assigned seller sells or conveys the right 978-230, 978-310, 978- a specific period (gene r ally, a to occupy a dwelling unit for 330, 978-340, 978-605, sp ec ific w e ek). The interest holder specified periods in the future. 978-720, 978-810, 978- is also assigned a specific unit if the Forms of time-sharing 840 undivided interest is in the entire arrangements include but are impro v ed proper t y . not limited to fixed and floating time, interval ownership, undivided interests, points programs, vacation clubs, right-to-use arrangements such as tenancy- for- years arrangements, and arrangements involving special-purpose entities. Vested BenefitsBenefits that are not 960-20, 960-205 • Supersede Benefits for which the employee’s 406 Source docs: (Definition 1) contingent on an employee’s Definition 1; right to receive a present or future –412 FAS 35: N/A future service. replace all links pension benefit is no longer FAS 87 & 88: Vested BenefitsBenefits for which the 715-30 with links to contingent on remaining in the Adopt/Mod. (Definition 2) employee’s right to receive a Definition 2. service of the employer. (Other present or future pension • Supersede conditions, such as inadequacy of Term used in SSAP benefit is no longer contingent Definition 1; the pension fund, may prevent the 102, definition 1 on remaining in the service of replace all links employee from receiving the vested paraphrased in Appendix A – 2015- 50 Chart of Corrections

Section C: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Which Changes Paragrap Recommendation Term Is Linked hs in Update the employer. (Other with links to benefit.) Under graded vesting, the Footnote 1. conditions, such as inadequacy Definition 2. initial vested right may be to receive Various terms from of the pension fund, may in the future a stated percentage of a definition 2 are within prevent the employee from pension based on the number of SSAPs 92 and 104. receiving the vested benefit.) years of accumulated credited Neither are pension- Under graded vesting, the service; thereafter, the percentage related, therefore, no initial vested right may be to may increase with the number of change needed. receive in the future a stated years of service or of age until the percentage of a pension based right to receive the entire benefit on the number of years of has vested. accumulated credited service; thereafter, the percentage may increase with the number of years of service or of age until the right to receive the entire benefit has vested. Appendix A – 2015- 50 Chart of Corrections

Section D: Other Technical Corrections Related to Glossary Terms. These amendments arose from miscellaneous changes to update Master Glossary terms.

Section D: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Changes Paragra Recommendation Which Term Is phs in Linked Update Dealer Market A market in which dealers stand ready 820-10 • Amend the A market in which dealers stand ready to 415 Term used SSAP 100, p to trade (either buy or sell for their definition to trade (either buy or sell for their own 38. Pink Sheets part of own account), thereby providing reflect the name account), thereby providing liquidity by definition is not liquidity by using their capital to hold change of Pink using their capital to hold an inventory of included. an inventory of the items for which Sheets LLC to the items for which they make a market. No change needed. they make a market. Typically, bid OTC Markets Typically, bid and ask prices (representing and ask prices (representing the price Group Inc. in the price at which the dealer is willing to at which the dealer is willing to buy 2010. buy and the price at which the dealer is and the price at which the dealer is willing to sell, respectively) are more readily willing to sell, respectively) are more available than closing prices. Over-the- readily available than closing prices. counter markets (for which prices are Over-the- counter markets (for which publicly reported by the National prices are publicly reported by the Association of Securities Dealers National Association of Securities Automated Quotations systems or by Pink Dealers Automated Quotations Sheets LLC OTC Markets Gr o up I nc.) are systems or by Pink Sheets LLC) are dealer markets. For example, the market for dealer markets. For example, the U.S. Treasury securities is a dealer market. market for U.S. Treasury securities is Dealer markets also exist for some other a dealer market. Dealer markets also assets and liabilities, including other exist for some other assets and financial instruments, commodities, and liabilities, including other financial physical assets (for example, used instruments, commodities, and equipment). physical assets (for example, used equipment). Readily An equity security has a readily 320-10, 820-10, • Amend the An equity security has a readily 416–418 Term only used in SAP Determinable determinable fair value if it meets any 944-40, 944-325, definition to determinable fair value if it meets any of the related to surplus notes. Fair Value of the following conditions: 944-470, 958- reflect the name following conditions: As the only change is to 320, 958-325 change of Pink change reference from a. The fair value of an equity security Sheets LLC to a. The fair value of an equity security is Pink Sheets to OTC is readily determinable if sales prices OTC Markets readily determinable if sales prices or bid- Markets, no change Appendix A – 2015- 50 Chart of Corrections

Section D: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Changes Paragra Recommendation Which Term Is phs in Linked Update or bid-and-asked quotations are Group Inc. in and-asked quotations are currently needed. currently available on a securities 2010. available on a securities exchange exchange registered with the U.S. • Amend registered with the U.S. Securities and Securities and Exchange paragraphs 820- Exchange Commission (SEC) or in the Commission (SEC) or in the over- 10-15-5 and over-the- counter market, provided that the- counter market, provided that 958-320-25-2 to those prices or quotations for the over-the- those prices or quotations for the reflect the name counter market are publicly reported by over-the-counter market are publicly change of Pink the National Association of Securities reported by the National Association Sheets LLC to Dealers Automated Quotations systems or of Securities Dealers Automated OTC Markets by Pink Sheet s LLC OTC M a rke t s Gro u p Quotations systems or by Pink Group Inc. in Inc. Restricted stock meets that definition Sheets LLC. Restricted stock meets 2010. if the restriction terminates within one that definition if the restriction year. terminates within one year. b. The fair value of an equity security traded b. The fair value of an equity security only in a foreign market is readily traded only in a foreign market is determinable if that foreign market is of a readily determinable if that foreign breadth and scope comparable to one of market is of a breadth and scope the U.S. markets referred to above. comparable to one of the U.S. c. The fair value of an investment in a markets referred to above. mutual fund is readily determinable if the c. The fair value of an investment in a fair value per share (unit) is determined mutual fund is readily determinable and published and is the basis for current if the fair value per share (unit) is transactions. determined and published and is the basis for current transactions. Reverse A reverse repurchase agreement (also 210-20, 940-320 • Rename the A reverse repurchase agreement accounted 419–423 SSAP 103, para Repurchase known as a reverse repo) refers to a term Reverse for as a collateraliz e d borr o w i ng (also 102definition Agreement transaction that is accounted for as a Repurchase known as a reverse repo) refers to a paraphrased. collateralized lending in which a Agreement to transaction that is accounted for as a Only reference to buyer-lender buys securities with an Reverse collateralized lending in which a buyer- collateralized agreement to resell them to the seller- Repurchase lender buys securities with an agreement to borrowing is in S103, borrower at a stated price plus interest Agreement resell them to the seller-borrower at a stated para 106. at a specified date or in specified Accounted for price plus interest at a specified date or in Currently being circumstances. The receivable under a as Collateralizedspecified circumstances. The receivable reviewed as part of the reverse repurchase agreement refers to Borrowing. under a reverse repurchase agreement Investment Project – no Appendix A – 2015- 50 Chart of Corrections

Section D: Master Master Glossary Definition Codification Description of Definition Related SAP Status/ Glossary Term Subtopic(s) in Changes Paragra Recommendation Which Term Is phs in Linked Update the amount due from the seller- • Remove accounted for as a collateraliz e d borr o w ing change. borrower for the repurchase of the glossary link to refers to the amount due from the seller- securities from the buyer- lender. In Master Glossary borrower for the repurchase of the securities certain industries, the terminology is term in 940-320,from the buyer- lender. In certain industries, reversed; that is, entities in those Financial the terminology is reversed; that is, entities industries refer to this type of Services— in those industries refer to this type of agreement as a repo. Brokers and agreement as a repo. Dealers— Investments— Debt and Equity Securities. Termination In general, the failure to renew an 944-20, 944-30, • Amend the In general, the failure to renew an insurance 424 There are no references insurance contract. Involuntary 944-40, 944-805 definition to contract. Involuntary terminations include to voluntary and terminations include death, remove glossary death, expirations, and maturities of involuntary expirations, and maturities of links to the contracts. Voluntary terminations of life terminations. As this is contracts. Voluntary terminations of Master Glossary insurance contracts include lapses with or removing glossary links life insurance contracts include lapses terms without cash surrender value and contract and updating the term with or without cash surrender value Involuntary modifications that reduce paid-up whole-life to termination, no and contract modifications that reduce Termination andbenefits or term-life benefits. change needed. paid-up whole-life benefits or term- Voluntary life benefits. Termination, which this Update supersedes. Transferred Any of the following: 860-10, 860-20 • Amend the Transfers of an y An y of the following: 425 SSAP 103, para. 7 Financial definition to appears to have correct Assets a. An entire financial asset clarify that a. An entire financial asset term. b. A group of entire financial assets transfers of any b. A group of entire financial assets No change needed. c. A participating interest in an of the assets c. A participating interest in an entire entire financial asset. listed constitute financial asset. transferred financial assets.

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