Performance obligations

The Financial Accounting Standards Board and International Accounting Standards Board released new regulations, IFRS 15 and ASC 606. The regulations affect the timing and amount of revenue recognition related to contracts with customers.

Use the Performance Obligations tab to track the contract performance obligations. For each performance obligation, you can track the transaction price, fair market value, and selling price. Comments and attachments can be specified for each obligation.

An entity recognizes revenue when the entity satisfies a performance obligation by transferring an asset, which is a promised good or service, to a customer. An asset is transferred when the customer obtains control of that asset.