FASB Accounting Standards Codification Subtopic 340-40, Other Assets and Deferred Costs—Contracts with Customers

Contract-cost accounting sits beside Topic 606 rather than inside transaction- price allocation. A learner must first determine whether another Topic governs, then distinguish costs that would not have been incurred without obtaining the contract from broader selling or administrative effort. Capitalized balances require systematic amortization and impairment review tied to the goods or services to which the asset relates.