Spotlight Series

This Accounting Spotlight discusses considerations for commercial entities adopting the FASB’s current expected credit loss (CECL) standard in 2023.

This Accounting Spotlight examines environmental credits and certain current U.S. accounting practices, regulatory developments, and other accounting issues associated with them. Originally issued in October 2022, this publication was updated to reflect the expanded coverage of this topic in Deloitte’s November 16, 2022, Financial Reporting Alert on financial reporting considerations related to environmental events and activities.

This Accounting Spotlight discusses certain key accounting and financial reporting matters related to the FASB’s leasing standard, ASC 842, that an entity needs to consider when going public.

This Accounting Spotlight discusses accounting implications of the evolving metaverse, an immersive digital environment that allows users to interact with their surroundings and one another in a shared space. Specifically, it addresses an entity’s accounting for transactions that involve nonfungible tokens (NFTs), units of data on a digital ledger (i.e., a blockchain) that represent rights associated with virtual or real-world assets and services. The accounting considerations highlighted, which include revenue recognition, developments costs, and the application of ASC 350, will vary depending on whether the entity is an NFT (1) issuer or developer or (2) investor or purchaser.

This issue discusses the accounting for software migration costs in cloud computing arrangements such as software as a service, platform as a service, and infrastructure as a service. Considerations addressed include differentiating between a service contract and internal-use software, identifying capitalizable or deferrable costs, and how migrating applications to the cloud may affect the accounting for existing capitalized software costs.

This issue discusses certain key accounting and financial reporting considerations related to various aspects of an entity’s real estate rationalization program.

This Accounting Spotlight focuses on certain postadoption complexities that entities, particularly in commercial industries, are facing with the new CECL standard.

This Accounting Spotlight discusses key considerations related to an entity’s assessment of its ability to continue as a going concern given potential financial and operational challenges associated with coronavirus disease 2019.

This publication discusses the accounting for contract modifications under the new revenue standard (ASC 606), including the determination of whether a price concession should be accounted for as a contract modification. It provides illustrative examples of contract modifications and price concessions that may arise in the current economic environment.

This Accounting Spotlight discusses cost capitalization considerations for entities that apply the agile method of software development. Because of the dynamic nature of agile software development, differences with the traditional method of software development in terms of the stages of project planning and their interdependence can lead to unique challenges in the application of the guidance on software cost capitalization.

This Accounting Spotlight discusses the complexities of identifying and classifying the capitalizable costs incurred to implement a cloud computing (or hosting) arrangement that is a service contract. Entities will need to use significant judgment when applying the guidance in FASB Accounting Standards Update No. 2018-15, "Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract.:

This Accounting Spotlight discusses the identification of performance obligations under the new revenue standard (the guidance in ASU 2014-09, “Revenue From Contracts With Customers (Topic 606),” as amended). The publication explains that an entity applying the new revenue standard is required to identify a performance obligation by determining whether a promised good or service is (1) capable of being distinct and (2) distinct within the context of the contract. If the promised good or service does not meet both of these requirements, it must be combined with other goods or services promised in the contract until there is a combination of goods or services that meets the requirements.

This Accounting Spotlight discusses whether a performance obligation is satisfied at a point in time or over time.

This Accounting Spotlight discusses key principal-versus-agent considerations under the new revenue standard.

This Accounting Spotlight discusses cost accounting issues and implementation considerations of obtaining a contract.

This publication discusses considerations related to the implementation of SEC Final Rule Release No. 33-10570, "Modernization of Property Disclosures for Mining Registrants."

This Renewables Spotlight examines consolidation matters related to investments in renewable ventures. Such ventures often involve complex accounting considerations associated with determining which entity (if any) should consolidate the venture.

The first installment in our Renewables Spotlight series, which focuses on emerging accounting and reporting topics that apply to the renewables industry, discusses virtual power purchase agreements.

This publication focuses on considerations related to determining the appropriate accounting treatment for a retailer’s provision of advertising services to a supplier.

This publication provides illustrative examples of software arrangements involving cloud conversion or switching rights and discusses potential models that software entities may consider when accounting for such arrangements under ASC 606.

This publication discusses how technology entities that sell smart devices and related subscription services to customers should apply the revenue guidance in ASC 606 to determine whether to account for those offerings as multiple performance obligations or as a combined performance obligation. It also discusses the interaction between ASC 606 and ASC 842 in the accounting for arrangements that include the lease of a smart device and the sale of a subscription service.

This Technology Spotlight discusses scoping considerations for entities determining whether software and software-related costs incurred should be accounted for under ASC 985-20, ASC 350-40, or other U.S. GAAP.