First time adoption of ASC 606 for a manufacturing entity
About the project:
Client is a leading supplier of integrated products, services and provides support to military forces, aviation and commercial industries, government agencies and prime contractors worldwide. Focused on defense and commercial technology, the client develops, manufactures and supports a broad range of systems for over one hundred industries, as well as mission critical and military sustainment requirements worldwide.
The client wanted assistance in assessing the impact of first-time adoption of new ASC 606 Revenue standard on the existing revenue recognition process being followed by them.
Approach and solution offerings:
- Understand revenue flow, data sources, and various revenue streams of the client
- Review sample of revenue contracts in the light of new ASC 606 five steps model
- Report gaps identified
- Provide comprehensive accounting memo as to the impact of the first-time adoption of the new accounting standard
- Advise the client as to the transition method to be followed to adopt the new standard