Gain insight into the challenges in current practice related to recognizing revenue under ASC 606.
ASC 606 was effective for most non public companies in 2019. However, even after five years of experience, companies continue to encounter difficulties applying the new standard’s guidance. This session will refresh your understanding of the five step process required by ASC 606 and provide insight into the challenges faced in practice in applying its precepts through real life examples and case studies. The session will focus on the more complex aspects of ASC 606 and provide insight into how to navigate those complexities.
Learning Objectives
- You will be able to describe the five step process required by ASC 606.
- You will be able to identify promises in the contract and determine which represent distinct performance obligations.
- You will be able to explain when revenue should be recognized over time versus at a point in time.
- You will be able to discuss how to apply the guidance to complex situations.
Agenda
Overview of the Standard
- Overview and Scope
- Other Guidance
Overview of the Five-Step Model
- Step 1: Identify the Contract
- Step 2: Identify Separate Performance Obligations
- Step 3: Determine the Transaction Price
- Step 4: Allocate Transaction Price to Performance Obligations
- Step 5: Recognize Revenue
Other Considerations
- Licenses of Intellectual Property
- Contract Costs
- Principal vs. Agent
- Presentation and Disclosures
Effective Date and Implementation Considerations
- Effective Dates
- Planning and Sample Timelines
Speakers
Angela Newell,
BDO USA P.A.- Deputy Managing Principal of the Professional Practice Group of BDO USA P.A.
- More than 20 years of experience in both auditing and operational and financial reporting
- Works with audit engagement teams to determine the appropriate accounting for a variety of topics
- Served a four year rotation on the Financial Reporting Executive Committee of the AICPA as BDO’s representative, and previously served a prior term as an industry representative; served as a member of the AICPA’s Revenue Recognition Working Group
- M.S. and B.S. degrees, University of Arkansas
Who Should Attend
This live webinar is designed for accountants, controllers, CFOs, tax managers and officers, presidents, vice presidents, business owners and managers, bankers, business analysts, enrolled agents, and bookkeepers.
