Hi Pros,
Any suggestions regarding FASB topic 606 for the following issue?
Corp US (US corporation) and Corp JP ( foreign corporation) are 100% owned by Parent Corp in BVI.
Corp US loaned an IP to Corp JP for free for 2 years. Corp JP can use the IP for further R&D. If in the year 3, Corp JP starts to sell products using that IP to a third party, Corp JP will start to pay Corp US fee.
Question: When should Corp US starts to recognize revenue under topic 606 in accounting?
Thank you,