Special Considerations under Revenue Recognition

Overview

Special considerations
Move beyond your understanding of the five steps of revenue recognition under FASB ASC 606, Revenue from Contracts with Customers and learn about important special considerations.
The special considerations include licensing, warranties, principal versus agent determinations, repurchase agreements, consignments and bill and hold arrangements. 
Understand how to identify requirements for recognizing incremental costs of obtaining a contract with a customer in accordance with FASB ASC 340-40, Other Assets and Deferred Costs—Contracts with Customers.   

Objectives

• Identify when revenue associated with a license is recognized at a point in time or over time under FASB ASC 606.
• Identify when a warranty represents a separate performance obligation or a guarantee under FASB ASC 606.
• Identify the difference between an entity acting as a principal and an agent in a transaction with a customer under FASB ASC 606.
• Identify requirements for recognizing incremental costs of obtaining a contract with a customer in accordance with FASB ASC 340-40.

Highlights

• Licensing
• Warranties
• Principal versus agent
• Incremental costs of obtaining a contract with a customer

Designed For

Accountants in public practice, industry, and academia who need an update on the latest revenue recognition guidance

Prerequisites

Experience in application of accounting standard