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ASC 606 Insights: Managing Variable Consideration and Modifications ON DEMAND

Available Until

Your Desk

2.0 Credits

Member Price $29.00

Non-Member Price $33.00

Overview

This course provides an overview of critical challenges companies encounter under ASC 606, emphasizing several key areas that can be particularly challenging for effective revenue recognition. This includes considerations relating to variable consideration and accounting for contract modifications. This course also addresses the accounting considerations related to significant financing components.

Highlights

Methods to estimate variable consideration. Constraining estimates. Significant financing components. Accounting for contract modifications. Modification approval assessment. Factors supporting contract modification approval. Modification accounted for as separate contract. Modification not accounted for as a separate contract.

Prerequisites

None.

Designed For

CPAs, CEOs, CFPs, and other accounting professionals.

Objectives

Identify different types of variable payments in contracts, including discounts, rebates, and bonuses. Recognize the importance of accurate estimation of variable payments for revenue recognition. Determine appropriate methods for estimating uncertain payment amounts. Distinguish between contracts with and without significant financing components. Recognize factors that impact the time value of money in long-term payment contracts. Identify when a contract modification is treated as a new contract or continuation of an existing one, and more.

Preparation

None.

Notice

None.

Leader(s):

Leader Bios

Kelen Camehl, Western CPE

Kelen is a recognized author and reviewer of CPE courses and has authored over 85 courses (225+ CPE credit hours) covering a range of accounting, auditing, financial reporting, regulatory, and ethics topics. His courses are available for purchase from many online CPE providers including the AICPA. Kelen has also remained involved in CPA exam content development for nearly 10 years and has authored more than a thousand multiple choice questions for various sections of the CPA exam. He also serves as an Editorial Advisor for the AICPA’s “Journal of Accountancy”.

Kelen has over 15 years of progressive finance and accounting experience. He currently serves as an Accounting Policy Consultant with HP, Inc. in Dallas, TX. Most recently he was located in Budapest, Hungary on a three-year international assignment and served in the company’s Houston, TX location prior to this assignment. Prior to HP, he served in multiple accounting roles in the oil & gas industry with ConocoPhillips including technical accounting policy, SOX compliance, and internal audit. He also gained public accounting experience with PricewaterhouseCoopers, working with various clients in the energy, electric, power, gas, and utility sectors.

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Non-Member Price $33.00

Member Price $29.00