Instructions
This checklist is to be used as a reminder of ASC 606 implementation requirements. This is not intended to
be a complete checklist. Judgment will be required in order to consider specific circumstances regarding
requirements for ASC 606 assessments. Any “no” responses indicated below should prompt additional
consideration.
Yes
No
N/A
Comments
>> Assign Responsibility
Has responsibility been assigned to an individual, or has a team been
established that includes the appropriate individuals? (Use the Comments
column to identify the individual(s) assigned.)
>> Determine the Impact of the Guidance
Have all revenue streams been identified and evaluated for changes from
previous GAAP? (Identify affected revenue streams in the Comments column.)
Have existing contract terms been evaluated to identify any that will result
in a change in revenue recognition? (List significant contract terms in the
Comments column.)
Will there be any “lost revenue” due to amounts deferred at the date of initial
application being included in restated prior periods or becoming part of the
cumulative effect adjustment?
Has the ability to capture information on an ongoing basis for new accounting
and financial statement disclosures been evaluated?
Will accounting policies and/or internal control procedures be changed to
ensure compliance with FASB ASC 606? (Describe expected changes in the
Comments column.)
Have the procedures for making and documenting accounting estimates and
judgments (i.e., variable consideration, etc.) been evaluated?
Have the effect on, and the need to change, any of the following been
evaluated:
• Internal financial reporting
• Financial planning and budgeting
• Operating and performance measures, such as gross profit or net
income
• Contract terms and/or pricing
• Compensation plans
• Income taxes, including tax planning
• Regulatory compliance
• Debt covenants
• Other (specify)
CONTRACTOR’S REMINDER CHECKLIST | 1