The company is offering an extended product warranty with the sale of each product. The product is not sold separately from the extended warranty. How does the company figure out how to allocate the transaction price to performance obligations? 

Determine the reference(s) from the codification system that explain(s) the GAAP guidance on this topic. Must reference Codification such as FASB ASC XXX-XX-XX-XXrn

Answer rating: 100% (QA)

ASC 606 deals with the revenue recognition from customer contracts Standard requires identification of performance obligation in a customer contract Standard provides that a series of distinct goods o... View the full answer