Health care organizations face complex challenges in applying the new revenue recognition standard due to the nature of the principles-based standard as well as the nature of patient service revenue and related reimbursement adjustments and settlements. Health care finance and accounting leaders will need to reevaluate the processes, controls, estimation techniques and financial reporting models currently used to recognize revenue. Further, processes and controls will need to change to comply with the new financial statement disclosure requirements. Join our presenters, including the chair of the American Institute of CPAs Health Care Entities Revenue Recognition Task Force, as they discuss the requirements of the new standard as well as practical considerations for implementing the standard and avoiding common errors.
Upon completion of this program, participants will be able to:
- Identify the requirements of the new Accounting Standards Codification Topic 606
- Describe the five-step model to apply in recognizing revenue
- Recognize the related financial reporting and disclosure implications specific to the health care industry
- Summarize the effect of the changes on a health care organization’s financial statements and related disclosures