{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/605/10/#05-overview-and-background","source":"FASB Accounting Standards Codification, Basic View","usage":"Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.","topic":"605","topic_title":"Revenue Recognition","subtopic":"605-10","subtopic_title":"Overall","section":{"number":"05","label":"05 Overview and Background","anchor":"05-overview-and-background","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"605-10-05-1","para":"05-1","html":"","snippet":"Paragraph superseded by Accounting Standards Update No. 2014-09.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9b661893a231167b622fed96ad28db3f544b0086816957e519d3619f25442557","downloaded_from":"2026-09-10T00:41:08.310Z","last_downloaded_at":"2026-09-10T00:41:08.310Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147481255","source_sha256":"f8807b4e84525701554c114a53870575ab8b3b94a160cf5cd6077eaae42bec91"}},{"citation":"605-10-05-2","para":"05-2","html":" The following two Subtopics within this Topic provide guidance on provision for losses: - a
605-20, Revenue Recognition—Provision for Losses on Separately Priced Extended Warranty and Product Maintenance Contracts - b
605-35, Revenue Recognition—Provision for Losses on Construction-Type and Production-Type Contracts.
There is no revenue recognition guidance located in this Topic. There is revenue guidance in the following industry Subtopics for contracts that are not with customers within the scope of Topic 606 on revenue from contracts with customers. Revenue guidance is included in the following industry-specific Subtopics: - a
905-605, Agriculture—Revenue Recognition, for guidance on cooperatives - b
944-605, Financial Services—Insurance—Revenue Recognition, for guidance on insurance contracts - c
954-605, Health Care Entities—Revenue Recognition, for guidance on contributions from related fundraising entities and charity care - d
958-605, Not-for-Profit Entities—Revenue Recognition, for guidance on contributions - e
980-605, Regulated Operations—Revenue Recognition, for guidance on alternative revenue programs.
This Topic also provides guidance and references for the recognition and measurement of a provision for losses for certain arrangements (that is, an onerous contract). The guidance on recognizing a provision for loss is located in the following Subtopics: - a
605-20, Revenue Recognition—Provision for Losses on Separately Priced Extended Warranty and Product Maintenance Contracts - b
605-35, Revenue Recognition—Provision for Losses on Construction-Type and Production-Type Contracts - c
- d
- e
912-20, Contractors—Federal Government—Contract Costs, specifically paragraph 912-20-45-5 - f
954-440, Health Care Entities—Commitments, specifically on continuing care retirement communities in paragraphs - g
954-450, Health Care Entities—Contingencies, specifically on prepaid health care services in paragraphs - h
980-350, Regulated Operations—Intangibles—Goodwill and Other, specifically on long-term power sales contracts in paragraph 980-350-35-3.