7/2/18
Current Changes 1. Income Statement Presentation - including complimentary sales with a reduction for promotional allowances will no longer be an option. The complimentary revenue must be excluded all together from the revenue line items. 2. Clarification that cash sales incentives/change in progressive jackpot liabilities should be accounted for as a contra revenue.
Current Changes – Cont. 3. Tier Status. A determination of tier level benefits will need to be performed to determine whether the customer has: o received a material right relating to future goods or services; or o is receiving a marketing or promotional offer as an incentive to obtain future revenue. Accordingly a material right would represent an obligation that would need to be valued and recorded w ith other liabilities. 4. Jackpot insurance premiums and proceeds received will now be recorded as expense and other income, respectably, rather than as a component of net gaming revenues. 5. Clarification is provided that adjustments to chip/token floats due to breakage estimates or chip line discontinuation are to be recorded as a component of net gaming revenues.
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