BDO Knows: Variable Interest Entities - Before Adoption of ASU 2015-02
This Variable Interest Entity Practice Aid is intended to facilitate
the following decisions:
- Is an entity in the scope of the variable interest entity consolidation model in ASC 810-10?1
- Does the reporting enterprise (RE) hold a variable interest (VI) in an entity?
- Is an entity a variable interest entity (VIE)?
- How is the primary beneficiary (PB), if any, of a VIE identified?
- How should the RE initially adopt the VIE consolidation guidance?
- What is the exemption provided by ASU 2014-072, and who is eligible for it?
- How will ASU 2015-023 change VIE consolidation guidance?
- How should the accounts of a VIE be consolidated and presented in the consolidated financial statements of the PB?
- When should the status of an entity as a VIE be reconsidered?
- When should the identity of the PB be reconsidered?