The issuance of Accounting Standards Codification (ASC) Topic 606, Revenue from Contracts with Customers, brings a new core principle for revenue recognition that will require a change in evaluating how and when to recognize revenue. The American Institute of CPAs stated that implementing ASC 606 will likely be the most significant and comprehensive change for most entities and their auditors in many years. In Part 2 of this series, we’ll discuss the various effective dates and available adoption methods, review the expanded revenue recognition disclosure requirements and discuss implementation and practical application considerations. We’ll also go into greater detail on the five-step model from Part 1.
Upon completion of this program, participants will be able to:
- Identify requirements of the new Accounting Standards Updates on revenue recognition (ASC Topic 606)
- Describe the five-step model specific to not-for-profit transactions
- Recognize related financial reporting implications
- Summarize the effect of changes on their organizations