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Payments to customers? Receipts from vendors? Help!
- 0:44 - Overview. Before we begin navigating the accounting guidance, we set the stage by talking about why this topic generates so many questions and share common examples of transactions when this might occur.
- 4:50 - Consideration paid to a customer (ASC 606). Angela explains the vendor’s accounting when payments are made to a customer, touching on related judgments and the timing of recognition.
- 15:59 - Consideration received from a vendor (ASC 705-20). Switching gears, Jay walks us through the guidance for situations when a customer receives money from a vendor, touching on the different models and sharing illustrative examples.
- 29:52 - Final reminders. We close by sharing helpful reminders, highlighting the importance of assessing all of the relationships involved and not merely jumping to a default model.
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