What it is
The workbook runs contracts through the mechanics of ASC 606 in two tabs. Contracts holds the fixed and constrained variable consideration, billings and cash. Obligations holds each performance obligation with its standalone selling price, pattern and dates. The transaction price is allocated on relative standalone selling price (ASC 606-10-32-31), and revenue is recognized by pattern: ratable by elapsed days, at a point in time, or over time on cost-to-cost.
Revenue is calculated cumulatively at the prior and current period-end dates, so the period’s revenue is the difference. The Summary produces revenue for the period, contract assets and liabilities net by contract with a rollforward, revenue by pattern for disaggregation, and the transaction price allocated to remaining performance obligations with the share expected within 12 months. Allocation, revenue and rollforward tie-outs run on every tab.
When to use it
- Subscription, license, service and mixed contracts that need an auditable schedule behind the revenue entry.
- Supporting the ASC 606 disclosures on disaggregation, contract balances and remaining performance obligations.
- Audit of revenue and deferred revenue, where the auditor recomputes revenue by contract.
What’s inside
- Settings with the current and prior period-end dates
- Contracts: 25 rows with transaction price, billings, cash, revenue, contract balances and allocation check
- Obligations: 60 rows with standalone selling price, pattern, allocation, percent complete at both dates and revenue
- Summary: revenue, net contract balances, rollforward, disaggregation by pattern, remaining performance obligations
- Data checks for missing patterns, dates, costs and contract IDs
Standard cited
This template follows ASC 606. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
How is the transaction price allocated?
Each obligation receives a share of the contract’s transaction price in proportion to its standalone selling price relative to the total for the contract (ASC 606-10-32-31). If a discount or variable consideration belongs to specific obligations under the standard’s criteria, adjust the standalone selling price inputs so the allocated amounts reflect that conclusion.
How is variable consideration treated?
Enter the amount after applying the constraint: variable consideration is included only to the extent it is probable that a significant reversal of cumulative revenue will not occur when the uncertainty is resolved (ASC 606-10-32-11). The estimate and the judgment stay in your memo.
How are contract assets and liabilities presented?
Net by contract: revenue recognized to date less amounts billed to date. A positive net amount is a contract asset and a negative one is a contract liability. Receivables are billed less collected, and impairment is outside the workbook.
Which disclosures does it support?
Disaggregation of revenue (ASC 606-10-50-5), contract balances (606-10-50-8) and the transaction price allocated to remaining performance obligations with expected timing (606-10-50-13). The disclosure is not required for obligations in contracts with an original expected duration of one year or less (606-10-50-14).
Related templates
- Deferred Revenue Rollforward and Ratable Recompute
- Disclosure Checklist: Revenue (ASC 606)
- Construction WIP Schedule (Over / Under Billings)
- Audit Program: Accounts Receivable and Revenue
Last updated 11/05/2026. All free templates.