{
 "@context": "https://schema.org",
 "@type": "DefinedTerm",
 "@id": "https://wulfkaal.github.io/entities/accounting-treatment",
 "identifier": "kaal:entity:accounting-treatment",
 "name": "Accounting treatment",
 "termCode": "accounting-treatment",
 "inDefinedTermSet": {
  "@id": "https://wulfkaal.github.io/entities/index.json"
 },
 "author": {
  "@type": "Person",
  "name": "Wulf A. Kaal",
  "identifier": "https://orcid.org/0000-0003-0757-275X"
 },
 "dateModified": "2026-07-29",
 "canonicalForm": "https://wulfkaal.github.io/entities/accounting-treatment.md",
 "sha256": "4b225d2d040d9ae96edc8f52f9347a6abb28dbb8200b53468fe28c6410e19936",
 "additionalProperty": [
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   "@type": "PropertyValue",
   "name": "status",
   "value": "derived"
  },
  {
   "@type": "PropertyValue",
   "name": "claim_count",
   "value": 2
  },
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   "name": "work_count",
   "value": 1
  },
  {
   "@type": "PropertyValue",
   "name": "year_span",
   "value": [
    "2025",
    "2025"
   ]
  },
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   "value": 0
  }
 ],
 "subjectOf": [
  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/5583610-009",
   "identifier": "kaal:claim:5583610-009",
   "text": "Because LER rewards are funded out of marketing budgets at roughly one to five cents per holder-day and expensed immediately under U.S. GAAP, the program avoids the balance sheet drag that conventional loyalty liabilities create.",
   "abstract": "LER avoids balance-sheet drags and streamlines finances by using marketing budgets at a modest $0.01–0.05 per holder-day and expensed upfront under U.S. GAAP.",
   "citation": "Wulf A. Kaal, Liquid Equity Rewards in Corporate America (2025). SSRN: https://ssrn.com/abstract=5583610",
   "datePublished": "2025",
   "claim_type": "mechanism",
   "confidence": "asserted",
   "is_failure_mode": false,
   "scope_conditions": [
    "U.S. GAAP reporting issuers",
    "rewards funded as marketing expense"
   ],
   "source_pdf_sha256": "2d73609d95ddb1573acc2a9e7af617fbe6283d6e591deb6317f6d5d804517c62",
   "status": "current"
  },
  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/5583610-026",
   "identifier": "kaal:claim:5583610-026",
   "text": "Funding LER from marketing budgets and expensing it immediately under ASC 606 and IFRS 15 avoids the balance sheet liabilities that traditional loyalty programs incur through deferred revenue.",
   "abstract": "LER allows issuers to fund LER voucher rewards from marketing budgets, treating them as immediate expenses under U.S. GAAP (ASC 606) and IFRS 15. This avoids balance sheet liabilities",
   "citation": "Wulf A. Kaal, Liquid Equity Rewards in Corporate America (2025). SSRN: https://ssrn.com/abstract=5583610",
   "datePublished": "2025",
   "claim_type": "mechanism",
   "confidence": "argued",
   "is_failure_mode": false,
   "scope_conditions": [
    "issuers reporting under U.S. GAAP or IFRS",
    "rewards classified as marketing expense rather than a material right"
   ],
   "source_pdf_sha256": "2d73609d95ddb1573acc2a9e7af617fbe6283d6e591deb6317f6d5d804517c62",
   "status": "current"
  }
 ],
 "description": "2 claims in the published works of Wulf A. Kaal carry the concept tag 'accounting-treatment'. Derived node: a roster, not an adjudicated definition."
}