Assignment
1. What are the timelines for the new revenue recognition standard for companies to implement?
2. The new lease standard requires that leases will be included on the Balance Sheet. There is an exemption to this new rule. What obligations will be exempt from inclusion on the Balance Sheet?
3. Match the terms in Column A with the appropriate definition in Column B. Place your answer where indicated.
|
Column A
|
Column B
|
|
Transaction Price
|
When control over good or service is transferred to a customer
|
|
Discount
|
Amount that vendor expects to be entitled to for transferring goods or services
|
|
Performance Obligations
|
Approved agreement between two or more parties that creates enforceable rights and obligations
|
|
Satisfied Obligation
|
The price at which an entity would sell a promised good or service separately to a customer
|
|
Disclosure
|
Information about amounts in financial statements
|
4. The new Revenue Recognition standard includes extensive disclosures. At this point there are three methods that a public company can use to present these disclosures. List those methods.
5. When discussing foreign currency exposure, there is no easy formula for a company to prepare themselves. Risk cascades through a company or an economy and sometimes with little or no warning. What is a recommendation to minimize this risk?