New Accounting Regulations for 2011
Mark Stokes (CFO)
| Jan 2, 2011I always get caught out on new accounting regs and then end up getting hit during the year as I run into them, one by one. For a software and services company, are there any new major accounting regulations coming in to effect in 2011 that I had better be on top of? Thanks.
Answers
Company: Miklan
Lots of changes in revenue recognition. The largest areas to watch for are if you have multi-element arrangements (like products + professional services + maintenance, etc.) which has been hugely revamped in 08-1. And traditional software revenue recognition (SOP 97-2) has been scaled back from certain situations (software + hardware). These are two very large changes which you should already be on top of b/c they are applicable now!