The FASB requires that if a financial intermediary has variance power it recognize a donation as a contribution payable on its financial statements.

Question

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The Financial Accounting Standards Board (FASB) does not specifically require financial intermediaries to recognize a donation as a contribution payable based solely on having variance power. The recognition of contributions and liabilities is determined by the substance of the transaction and the entity's control over the donated assets, among other factors, according to FASB standards.

The FASB Requires That If a Financial Intermediary Has Variance