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Revenue Recognition

How the New Revenue Recognition Standard Will Impact the Construction Industry

Posted 4:30 PM by
The revenue recognition methodology for the construction industry will change with the adoption of Financial Accounting Standards Board (FASB) Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers (Topic 606). Topic 606 is effective for public companies for periods beginning after Dec. 15, 2017 and for most non-public companies for periods beginning after Dec. 15, 2018. Early adoption is permitted.
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Looking Ahead: ASUs Effective for Fiscal Years Beginning After 12/15/18

Posted 1:00 PM by
As 2018 comes to a close, it’s time to look ahead to the many changes in generally accepted accounting principles in the United States (U.S. GAAP) that will become effective for 2019 calendar year ends. The following summarizes accounting standards updates (ASUs) which are effective for fiscal years beginning after Dec. 15, 2018 for most nonpublic companies.
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How Revenue Recognition Is Impacting Buy Here – Pay Here Dealers

Posted 3:00 PM by
When the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers, it represented perhaps the most extensive changes to accounting standards for revenue recognition ever. Experiencing a number of revisions and amendments since its issuance, the new guidance is effective for calendar years ending Dec. 31, 2018 for public companies and Dec. 31, 2019 for nonpublic companies; however, many have delayed analyzing how significantly the updated standards will impact their business.
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How the New Revenue Recognition Standard Will Impact the Transportation Industry

Posted 5:04 PM by
Under current revenue recognition standards, transportation companies generally recognize revenue upon delivery of freight to the customer. Related transportation and delivery expenses directly associated with the shipments are recorded once the revenue is recognized. This revenue recognition methodology will change with the adoption of Financial Accounting Standards Board (FASB) Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers (Topic 606). Topic 606 is effective for public companies for periods beginning after Dec. 15, 2017 and for non-public companies for periods beginning after Dec. 15, 2018. Early adoption is permitted.
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Dissecting the New Revenue Recognition Guidance: Step 5 of the Five-Step Framework

Posted 2:22 PM by
Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, as amended, creates a five-step framework for entities to determine when and how much revenue should be recognized. The first article in the ‘Dissecting the New Revenue Recognition Guidance’ series discussed step 1: identifying the contract(s) with a customer. The second article in the series explained step 2: identifying performance obligations in the contract. The third article discussed step 3: determining the transaction price. The fourth article discussed step 4: allocating the transaction price to the performance obligations in the contract. This article focuses on step 5: recognizing revenue when (or as) the entity satisfies performance obligations.
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Dissecting the New Revenue Recognition Guidance: Step 4 of the Five-Step Framework

Posted 12:50 PM by
Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, as amended, creates a five-step framework for entities to determine when and how much revenue should be recognized. The first article in the ‘Dissecting the New Revenue Recognition Guidance’ series discussed step 1: identifying the contract(s) with a customer. The second article in the series explained step 2: identifying performance obligations in the contract. The third article discussed step 3: determining the transaction price. This article focuses on step 4: allocating the transaction price to the performance obligations in the contract.
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Dissecting the New Revenue Recognition Guidance: Step 3 of the Five-Step Framework

Posted 2:00 PM by
Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, as amended, creates a five-step framework for entities to determine when and how much revenue should be recognized. The first article in the ‘Dissecting the New Revenue Recognition Guidance’ series discussed step 1: identifying the contract(s) with a customer. The second article in the series explained step 2: identifying performance obligations in the contract. This article focuses on step 3: determining the transaction price.
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Principal Versus Agent: Which Are You?

Posted 5:00 PM by
The Financial Accounting Standards Board (FASB) has implemented one of the most extensive changes to revenue recognition standards in its history with the issuance of Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers. As entities address and apply the standard’s provisions, one key element they must determine is how to report their revenues. Entities can report revenue at the gross amount of consideration they expect to receive (with associated fees presented as a cost) or on a net basis, which is the gross amount of consideration less any fee or commission directly related to the obligations.
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Dissecting the New Revenue Recognition Guidance: Step 2 of the Five-Step Framework

Posted 2:00 PM by
Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, as amended, creates a five-step framework for entities to determine when and how much revenue should be recognized. The first article in the ‘Dissecting the New Revenue Recognition Guidance’ series discusses step 1, identifying the contract(s) with customers. This article focuses on step 2, identifying the performance obligations in the contract.
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Implementing Revenue Recognition for Your Private Company

Posted 6:45 PM by
Implementation of the new revenue recognition standard, Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, is almost here. For a private company, the standard will go into effect for calendar years beginning after Dec. 15, 2018. As such, companies should begin assessing now the impact of the new guidance.
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