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This excerpt taken from the DTSI 10-Q filed Nov 9, 2005. DTS DI Revenue
Recognition
Revenue is recognized when elements of a customer order or contract are delivered and accepted by the customer and no significant obligations remain after customer acceptance. In certain instances, we bill in advance of services. Prices are established in advance of the work performed and are generally fixed in nature. Revenue related to time and materials contracts is recognized as services are rendered at contract labor rates plus material and other direct costs incurred. If losses are anticipated on a contract, such losses are recognized immediately. |
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