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hello and welcome to this session in which we would look at the revenue recognition process specifically weamp;#39;re going to be working on step two in the revenue recognition process in the prior recording we looked at step one which is identifying the contract with customers now in the real world identifying the separate performance obligations is the most challenging for companies well for us itamp;#39;s not as challenging hopefully we will understand the concept and thatamp;#39;s all what you need to do and reason is this once you identify the performance obligation it means what do you what do you need to do what is your obligation what are you expected to deliver then youamp;#39;re gonna allocate the transaction price to those separate performance obligation or one obligation if itamp;#39;s one obligation itamp;#39;s pretty straightforward if itamp;#39;s more than one then you have to determine how to allocate this money then so point two step two will influence step four
