Mastering revenue recognition
It's crucial to know the key principles of revenue recognition to recognize revenue effectively. You'll gain an understanding of these key principles by exploring the five-step revenue recognition process.
You’ll learn more about:
Identifying a customer contract Determining performance obligations Establishing a transaction price Allocating the transaction price Recognizing revenue
Fulfilling performance obligations
Enhancing financial acumen through practical management strategies and real-world examples can significantly improve your organization's ability to excel in revenue recognition practices.
You’ll cover several aspects of performance obligations, including:
Identifying distinct goods and services Implications of promised goods Complexities associated with shipping and handling activities
Learning Objectives
- Identify principles and requirements of revenue recognition.
- Identify requirements for identifying a contract with a customer.
- Determine performance obligations.
- Identify requirements for determining and allocating a transaction price.
- Identify special considerations for implementing FASB ASC 606 and FASB ASC 340-40.
- Identify financial accounting and reporting requirements.
Major Topics
- Revenue recognition overview
- Identifying the contract with a customer and performance obligations
- Transaction price
