ASU Revenue Recognition Standards Training
Not-for-Profits must prepare to adopt and implement two new revenue recognition standards, not just the one that's been receiving most of the attention over the past few years—FASB Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606)—issued in 2014.
FASB is working to finalize and issue proposed ASU 2017-270, Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made (Topic 958-605). Because most NFPs engage in both contribution and exchange transactions, both new standards will affect how they record and report revenue.
-Identify effective dates for each new standard
-Distinguish contributions from exchange transactions
-Evaluate conditional vs unconditional contributions
-Apply the core principles for revenue recognition