Question: 2. Delta provides ancillary services for which it charges extra fees, including baggage, seat assignments, priority boarding and food. Prior to ASC606, Delta included the
2. Delta provides ancillary services for which it charges extra fees, including baggage, seat assignments, priority boarding and food. Prior to ASC606, Delta included the revenues from these services in other revenues. Is this treatment still appropriate under the new revenue recognition standard? If not, what should Delta do instead?
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
