FASB significantly expanded disclosure requirements related to revenue recognition which are an important part of the new revenue recognition standard. The revenue disclosure significantly change to the way in which you will be required to process financial statements even when revenue recognition is not significantly changed. With ASC 606, you will be required to disclose revenue information regarding the nature, amount, timing and uncertainty of revenue and cash flows.
In order to help you prepare for the new guidelines, KPMG released a guide which illustrates the disclosure requirements and how it may impact your organization. The guide provides an in depth analysis of FASB disclosure requirements, Revenue from Contracts with Customers. KPMG May 2016 guide, helps you prepare financial statements in accordance with new ASC 606 guidelines. KPMG uses a fictitious company to help explain disclosure requirements and help you visualize what a financial statement could look like.
We suggest if you haven’t started analyzing how the new disclosures and revenue recognition changes will impact your company start today. Download a copy of KPMG’s click here