CPA Explains Revenue Recognition Under GAAP Rule | With Examples

Revenue recognition is figuring out when a business has actually earned its revenue. With the keyword being “earned” because it’s all about earning the revenue you record when it comes to revenue recognition rules.
Knowing when to recognize revenue is one of the reasons why we have Generally Accepted Accounting Principles (GAAP). GAAP has detailed rules for when and how to recognize revenue, and how to report it on your income statements. The most recent of these rules is ASC 606 or Accounting Standard Codification 606.

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[german]

Thanks for the video. I think it will be great if you open a podcast, Its great to ear you when I am in the traffic.

[cocoshuimu]

Such an informative and illustrative video. You made dull principles easy to absorb. Love the home tour (Magnificent house btw). The solar panel installation reminds me of our company's revenue recognition principles: The equipment has to be delivered, installed, and signed by customers and field service technicians before we can recognize the revenue in relation to it :)

[shilpamondal]

Wow that is something really interesting to know about Tesla Solar panels in much more in detail. Waiting for a whole video dedicated to this.

[con]

Great videos! They help supplement my CPA study materials. Requesting videos on Leases and Derivatives!

[TRUCKERTV]

Yes, good video. Hopefully you will go through all the Gaap principles.

[aaronhernandez]

Question: if there are implementation fees that the wine company incorporated, when would you start recognizing revenue on those fees? When it’s completed/up and running or when the implementation process has started

[otabe]

I think the illustrated case of FOB at destination is applicable when the shipping and handling is a distinctive performance obligation

[simplegirl-gogf]

Thank u so much for this video it helped me a lot to understood about rev rec rules
Thank u so much again. all cleared in one example😇

[argjendable]

Just want to say i Recognize you as my hero.

[lamiaaitbouskri]

I am happy for you for the solar. u r smart man. congratulations

[otabe]

Nice explanation, what if the FOB destination for sea cargo? If documents sent at shipment including a commercial invoice, unearned revenue account instead sales account to use?

[abhinavpandey]

Explain input and output method of measuring performance obligation of revenue recognition

[kvijay]

Really awesome video. Request you to explain about ASC

[benderbendingrofriguez]

Great video, also could you make a video explaining the TelexFree or Operation Car Wash?

[sanjaigopi]

Hey mate I have a doubt....after CPA or CA if we are in audit field we start as a associate, manager, partner & we can also become cfo..in the field of taxation what is the highest position???

[hirakhan]

Hello, thanks for yet another great video. Requesting if you could make a video about fixed assets.
Thank you

[swiftaccountingmarketing]

I love the video, what program do you use to create this video with all those animations

[gbrcllc]

I enjoy your videos. Do you touch on nonprofits?

[eiengel]

Sorry I have a question in Canadá use GAAP?

[Channelll]

Hope these tesla panels help us and you to create interesting videos when you have no actual electricity. :)