The following table identifies the changes made to this Subtopic.
The Contractors—Federal Government Topic provides incremental guidance for government contractors. See also Subtopic
910-20.
This Topic includes the following Subtopics:
- a
Overall
- b
Contract Costs
- c
- d
Income Statement
- e
- f
Changing Prices
- g
Risks and Uncertainties
- h
Receivables
- i
Inventory
- j
Liabilities
- k
Contingencies
- l
- m
Cost of Sales and Services
- n
Compensation—Retirement Benefits
- o
Research and Development
- p
Interest.
Entities electing to do business with the federal government will find a customer who behaves, in some significant ways, very differently from commercial customers. This unique behavior results from the customer being a sovereign power that conducts its procurement activities under specific laws and implementing regulations. These procurement statutes and regulations govern the process the federal government must follow in its business dealings with private industry. They cover such critical matters as how the federal government selects, monitors, and pays its contractors.
While most industries include entities that are government contractors, certain industries are more heavily involved in providing goods and services to the government. These industries include manufacturing, architect-engineering, professional services, construction, aerospace, shipbuilding, and technology.
The Subtopics within the Contractors—Federal Government Topic only provide incremental industry-specific guidance for the entities defined in this Scope Section, or as further defined in the Scope Sections of the individual Subtopics. Entities within the scope of this Topic shall also comply with the applicable standards not included in this Topic. Except where the text clearly indicates otherwise, the term contractor is used to denote either a prime contractor or a subcontractor, and the term contract to denote either a prime contract or a subcontract.
The guidance in this Topic applies to all entities that engage in federal government contracts.
The guidance in this Topic applies to all of the following transactions and activities:
- a
- b
- c
Fixed-price war and defense supply contracts terminated, in whole or in part, for the convenience of the government.
The guidance in this Topic with respect to fixed-price war and defense supply contracts terminated, in whole or in part, for the convenience of the government does not specifically apply to terminated cost-plus-fixed-fee contracts nor to contracts for facilities or services. However, the conclusions reached herein may serve as guides for the accounting applicable to such contracts.