The Crucial Role of Stakeholders and the TRG in Updating ASC 606: Case Study

Keywords

ASC 606 implementation, transition resource group, standard-setting process

Abstract

In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09: Revenue from Contracts with Customers, later codified as Accounting Standards Codification (ASC) 606. Shortly thereafter, the FASB and the International Accounting Standards Board (IASB) formed the Transition Resource Group (TRG) to facilitate discussion and to address important questions from various stakeholders. The FASB and the IASB (the Boards) created the TRG to receive feedback regarding how to improve and clarify the newly issued standard prior to the standard’s effective date. This article explains the formation of the TRG, describes the process that leads to standard updates, and follows a specific issue that started with a company’s question and resulted in an official update to ASC 606.

Original Publication Citation

Case Study: The Crucial Role of Stakeholders and the TRG In Updating ASC 606 (C. Moffat and T. J. Wilks), RevenueHub, December 17, 2016. (437 unique views as of Jan. 13, 2023)

Document Type

Peer-Reviewed Article

Publication Date

2016

Publisher

RevenueHub

Language

English

College

Marriott School of Business

Department

Accountancy

University Standing at Time of Publication

Full Professor

Link to Full Text

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