Articles & Publications

The finale of our series. At the beginning of this series, we mentioned that revenue is the single largest line item in most companies’ financial statements, and yet when you look at footnote disclosures, you will see that in. Read More >>

The good news for nonprofits is that contribution revenue was determined by the accounting standard setters to be “out of scope” for these new standards. Accordingly, no assessment of contribution revenues is required; however, these organizations don’t just get. Read More >>

The Service Industry can be complicated in terms of revenue recognition. In professional services, contracts (whether express or implied) may provide that contractors can bill by the hour or by the project, and terms may allow for progress billing. Read More >>

Companies that focus their efforts strictly in distribution may not think there is much change that could be required to their methods of revenue recognition. After all, they just take someone else’s product and ship it to their own. Read More >>

Sales in a manufacturing environment can take a wide variety of directions that would result in significantly different revenue recognition timing on a company’s financial statements. If your operation makes a very simple product that is sold on a. Read More >>

As the new standards are being rolled out, the construction industry needs to address these standards as well as the unique accounting issues that the construction contractor faces with preparing their annual financial statements. There are several unique items. Read More >>

Now that you have identified the contract and the underlying performance obligations, gathered information to assess the transaction price, and allocated the transaction price to the individual performance obligations, in this final step you’ll need to determine when to. Read More >>

Now that the transaction price has been identified under the contract, an analysis should be performed to allocate the transaction price amongst the performance obligations under the contract. These allocations will not always be obvious and will require significant. Read More >>

In one of the most significant changes to U.S. GAAP in years, the new revenue recognition standards go into effect for private companies for years beginning after December 15, 2018. For many, this will require significant effort to evaluate. Read More >>

In many contracts with customers, the transaction price is fairly obvious; however, oftentimes it is not and requires significant interpretation. For example: Are there variable pricing components under the contract (like rapid payment incentives, quantity purchase discounts, penalties for late. Read More >>