The reporting entity’s expected restocking costs should be recognized as a reduction of the carrying amount of the asset as they are costs to recover the goods. An asset is recorded for the reporting entity’s right to recover the goods upon settling the refund liability. As a result, the restocking fee should be included in the transaction price and recognized when control of the goods transfers to the customer. For goods that are expected to be returned, the amount the reporting entity expects to repay its customers (that is, the estimated refund liability) is the consideration paid for the goods less the restocking fee. A product sale with a restocking fee is no different than a partial return right and should be accounted for similarly. Restocking fees may also be charged to discourage returns or to compensate a reporting entity for the reduced selling price that a reporting entity will charge other customers for a returned product. These costs can include shipping fees, quality control re-inspection costs, and repackaging costs. Reporting entities sometimes charge customers a “restocking fee” when a product is returned to compensate the reporting entity for various costs associated with a product return. Transfers and servicing of financial assets Revenue from contracts with customers (ASC 606) Loans and investments (post ASU 2016-13 and ASC 326)
Investments in debt and equity securities (pre ASU 2016-13)
There’s also a special shop where you can use Arena or Legion coins to unlock new weapons. Insurance contracts for insurance entities (pre ASU 2018-12) In Contra: Returns you can get new guns to your arsenal simply by playing the game, and participating in in-game activities such as Story Missions, Boss Challenges or Ranked Matches to earn weapon fragments and ultimately assemble the weapons themselves. Insurance contracts for insurance entities (post ASU 2018-12) IFRS and US GAAP: Similarities and differences Business combinations and noncontrolling interestsĮquity method investments and joint ventures