Hasten Industries, Inc.: Timing of Revenue Recognition (ASC 606).

This case asks graduate and undergraduate accounting students to apply the current U.S. GAAP revenue recognition standard (ASC Topic 606) that became effective for public companies in 2018 and nonpublic companies in 2019. Students should grasp the new rules and understand how the nuances of manufacturing contracts (e.g., number of performance obligations, transaction price allocation, shipment options, product customization, and contract cancelation and compensation) can affect the recording and timing (over time or point in time) of revenue recognition. This case also encourages students to independently research the technical aspects of U.S. GAAP regarding the accounting treatment of these contracts. [ABSTRACT FROM AUTHOR]