S substantial performance to determine if may

N nonrefundable revenue
R reasonably assured
to determine how to
account the revenue START

Is there
substantial
performance?

YES

Are the
payments
collected non-
refundable?

YES

REVENUE

Are collections
reasonably
assured?
 Are collections
reasonably
assured?

YES

REVENUE using ACCRUAL

METHOD
 START

Is there NO
substantial
performance?

YES

Are the NO
payments
collected non-
refundable?

YES

REVENUE DEFERRED REVENUE

Are collections NO
reasonably
assured?
Are collections NO
reasonably
assured?

YES

NUE using ACCRUAL REVENUE using INSTALLMENT

METHOD METHOD