the FASB issued an ASU that made technical corrections and improvements to ASC 606. Included was one change to ASC 605. The change relates to combining contracts when recording a loss on production- and construction-type contracts.
although the standard does not use that term. Instead, thestandard looks to the terms of the contract. Thus, a reporting entity may not be able to use thesame measure of progress as under the percentage-of-completion method. The criterion also putseven ...
lease classification test. Previously these percentages were used to indicate what constitutes a “major part” of economic life (75%) or “substantially all” of the fair market value (90%); now these percentages are considered guidelines and you can elect whatever percentage you choose to ...