C.13 Presentation (Chapter 14 of the Roadmap)
C.13.1 Presentation of Contract Assets and Contract Liabilities — Implementation Q&As 61, 62, and 63 (Compiled From TRG Agenda Papers 7 and 11)
Issues have been identified regarding how contract assets and contract
liabilities should be presented under the revenue standard. These issues
include:
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Determining the unit of account — The contract, and not individual performance obligations, is the appropriate unit of account for presenting contract assets and contract liabilities.
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Presenting contract assets and contract liabilities for individual contracts — Contract assets or contract liabilities should be presented for each contract on a net basis.
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Presenting contract assets and contract liabilities for combined contracts — When contracts meet the requirement for combination under the revenue standard, a net contract asset or net contract liability should be presented for the combined contract.
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Offsetting other assets and contract liabilities against contract assets and contract liabilities — Entities should look to existing guidance to determine whether they have the right of offset.37
Footnotes
37
ASC 210-20.