Читать книгу Revenue Recognition - Renee Rampulla - Страница 47

Longo Technologies licenses a patent to Sutra Inc., its customer, in exchange for a usagebased royalty. At the contract inception, the contract meets all the collectability criteria and Longo Technologies accounts for the contract with the Sutra Inc. in accordance with FASB ASC 606. Longo Technologies recognizes revenue when Sutra Inc.’s subsequent usage of the licensed patent occurs.