The effective date of FASB ASC 606, Revenue from Contracts with Customers is upon us! If you're looking to master this new major standard, look no further. This course examines details of the five core principles to provide you with an in-depth understanding:
Go beyond the basics of step one, "Identify the contract with a customer"-explore collectibil-ity, reassessment criteria and enforceable rights!
Move past the fundamentals of step two, "Identify the performance obligations in the con-tract"-learn about distinct goods or services and combining contracts!
Step ahead in step three, "Determine the transaction price"-examine refund liabilities, varia-ble consideration, and accounting policy elections!
Rise above the basics of step four, "Allocate the transaction price to the performance obliga-tions in the contract"-learn about stand-alone selling prices, allocation of a discount and changes in the transaction price!
Go all in with step five, "Recognize revenue when (or as) the entity satisfies a performance ob-ligation"-determine whether to recognize revenue at a point in time or over time, and how to measure progress toward completion using the input or output method.
There's more! This course also covers special considerations, such as warranties, licensing, acting as a princi-pal versus an agent, incremental costs of obtaining a contract with a customer (FASB ASC 340-40, Other As-sets and Deferred Costs-Contracts with Customers) and the extensive disclosure requirements along with a useful summary table. Supported by practical examples, this course includes the latest updates from FASB, industry-specific examples taken from the AICPA Audit and Accounting Guide Revenue Recognition and many disclosure illustrations.
5-step process for recognizing revenue
Recognize principles of revenue recognition.
Recognize requirements for identifying a contract with a customer.
Recognize performance obligations.
Recognize requirements for determining a transaction price.
Recognize requirements for allocating a transaction price.
Identify the requirements for recognizing revenue.
Recognize special considerations for implementing FASB ASC 606 and FASB ASC 340-40.
Recognize financial accounting and reporting requirements.
Accountants in public practice, industry, and academia who need an update on the latest revenue recognition guidance