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Webinar Recording
Demystifying Revenue Recognition for Tech Companies and Their Investors
May 13, 2022
Join us as we demystify revenue recognition for technology companies – including from the investor’s perspective. Though it’s been in effect for a few years, ASC 606 still carries some ambiguity, in particular for our private equity clients and their portfolio companies. Cherry Bekaert’s advisors are here to help break down the reporting differences as well as provide recommendations related to the changes.
We’ll explore
Deferred Commissions and Commission Structures
Key Terms in a Contract
Subscriptions vs. Term-Based Licenses
Free Trial Periods
Differences Between a Principal and an Agent
How to Determine Expected Use
Objectives
Understand differences between a term-based license and a subscription
Understand how 606 makes companies defer commissions and over what period
Be able to identify challenges with identifying and allocating performance obligations
