ASU 2014-09 - Revenue from Contracts with Customers (ASC 606)

The 2014-09 update issued by the Financial Accounting Standards Board introduces ASC 606, a new revenue-recognition framework for contracts with customers. It replaces previous industry-specific guidance with a principles-based model that requires entities to identify performance obligations, allocate transaction price, and recognize revenue as those obligations are satisfied. The standard aims to improve comparability and transparency of revenue reporting across industries.