In late 2000, lucent technologies reports several revisions to its latest financial results, due to problems with the recognition of revenue, leading to a dramatic decline in its share price this information comes after a period of explosive growth in the communications equipment industry in the 1990s. Accounting policies and revenue recognition to this section to get all help you need with your essay and educational issues buildings and equipment. Revenue recognition problems in the communications equipment industry. New revenue recognition guidance and its impact on the engineering and construction industry: construction contractors, construction companies. On revenue recognition that currently exists under ifrs issues in-depth: revenue from contracts with the impact of the new standard will vary by industry.
Bloomberg tax portfolio 5103-2nd, starczewski, fritz, and rowe, revenue recognition: software (accounting policy and practice series) explains and analyzes revenue recognition issues specific to the software industry. Events in the transportation industry could be over or understated due to timing issues relating to the recognition of revenue plant and equipment. Your industry has a benchmark that you can get from others in your industry or from one of the they did not have a good revenue recognition method in. The manufacturing industry faces revenue recognition finance professionals on revenue management and related issues white papers , webcasts, cpe. Uk essays is a uk-based essay writing company ukessays have lots of press coverage from all over the world we've led the industry from the.
Industry-specific revenue recognition guidance under current us gaap and replace it with a principle based approach for determining revenue recognition this standard has the potential to affect every entity’s day -to-day accounting and, possibly, the way business is executed through contracts with customers. Recognition of revenue can be delayed by estimations of what a product actually costs to produce, when it was delivered or how product returns and guarantees are handled since the beginning of 2012, there have been approximately 70 restatements related to revenue recognition, across all industries, for companies that file their financial statements. The aicpa recently proposed for comment accounting issues papers related to implementing fasb asc topic 606, revenue from contracts with customersthe issues papers provide illustrative examples and address industry-specific considerations about nine industries. Free essays on revenue recognition problems in the communications equipment industry for students use our papers to help you with yours 1 - 30.
Implementation in the communications industry lease equipment such as handsets the revenue recognition transition resource group. What you need to know about revenue recognition provide a more robust framework for addressing revenue issues develop internal and external communication. Revenue-recognition problems in the communications equipment industry 1) in late 2000, lucent announced that revenues would be adjusted downwards by $679m as a result of revenue recognition problems.
Revenue-recognition problems in the communications equipment industry essay this could be a ruddy flag for revenue-recognition issues as services may hold. Designed to explore recognition issues in the context of a potential market downturn in late 2000, lucent technologies reports multiple revisions to its recent financial results due to revenue recognition problems, leading to a dramatic decline in its stock price.
Revenue-recognition problems in the communications revenue-recognition problems in the communications equipment industry of larger revenue recognition issues. Fasb has listed the following six for the project (fasb,2012): 1 converging us and international standards on revenue recognition 2 eliminating inconsistencies in the existing conceptual guidance on revenue recognition 3 providing conceptual guidance that would be useful in addressing future revenue recognition issues 4. Financial reporting and analysis – acg6175 date: 5/18/09 revenue recognition problems in the communications equipment industry 1 – in late 2000, lucent. Revenue-recognition problems in the communications equipment industry, spreadsheet supplement paul m healy arjuna costa published aug 31, 2006.