Companies now have a complete roadmap to a new accounting standard on revenue recognition after the Financial Accounting Standards Board wrapped up its deliberations and reached agreements on a few central outstanding issues, clearing the way for implementation planning.
After more than a decade of discussion papers, proposals, comment letters, roundtables, and various other forms of outreach, FASB is in the home stretch on a new standard on how to recognize revenue in financial statements. The board made final decisions on such issues as variable consideration, licenses, and collectibility and has instructed its staff to put the finishing touches on the final language of the standard. The new rules are expected to be in print by the first quarter of 2014, FASB says.
