Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

v3.10.0.1
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]  
Schedule of Significant Accounting Policies
In addition to the significant accounting policies discussed in this Note 3, the following table includes our significant accounting policies that are described in other notes to our consolidated financial statements, including the number and page of the note:
Significant Accounting Policy
 
Note #
 
Page #
Fair Value Measurements
 
4

 
Goodwill
 
8

 
Intangible Assets
 
9

 
Property and Equipment
 
10

 
Equity Method Investments
 
11

 
Share-Based Compensation
 
14

 
Legal Reserves
 
15

 
Income Taxes
 
16

 
Schedule of new ASU adoption impact on financial statements
The cumulative effects of the changes made to our consolidated balance sheet as of January 1, 2018 for the adoption of ASU 2014-09, ASU 2018-02 and ASU 2018-07 are included in the table below.
 
Balance at
December 31, 2017
 
Adjustments Due to ASU 2014-09
 
Adjustments Due to ASU 2018-02
 
Adjustments Due to ASU 2018-07
 
Balance at
January 1, 2018
Balance Sheet
 
 
 
 
 
 
 
 
 
Assets
 
 
 
 
 
 
 
 
 
Prepaid expenses and other current assets
$
129,669

 
$
8,262

 
$
—

 
$
—

 
$
137,931

Other long-term assets
118,671

 
2,576

 
—

 
—

 
121,247

Deferred tax assets
505,528

 
(5,915
)
 
—

 
—

 
499,613

 
 
 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable and accrued expenses
794,341

 
32,399

 
—

 
(26,266
)
 
800,474

Current portion of deferred revenue
1,881,825

 
(41,902
)
 
—

 
—

 
1,839,923

Long-term deferred revenue
174,579

 
(3,990
)
 
—

 
—

 
170,589

 
 
 
 
 

 
 
 
 
Equity:
 
 
 
 
 
 
 
 
 
Additional paid-in capital
1,713,816

 
—

 
—

 
30,398

 
1,744,214

Accumulated deficit
(3,243,473
)
 
18,416

 
(4,013
)
 
(4,132
)
 
(3,233,202
)
AOCI, net of tax
18,407

 
—

 
4,013

 
—

 
22,420


The following tables illustrate the impacts of adopting ASU 2014-09 on our consolidated statement of comprehensive income.
 
For the Year Ended December 31, 2018
 
As Reported
 
Impact of Adopting ASU 2014-09
 
Balances Without Adoption of ASU 2014-09
Income Statement
 
 
 
 
 
Revenues
 
 
 
 
 
Subscriber revenue
$
4,593,803

 
$
94,767

 
$
4,688,570

 
 
 
 
 
 
Expenses
 
 
 
 
 
Revenue share and royalties
1,393,842

 
88,122

 
1,481,964

Subscriber acquisition costs
470,336

 
3,540

 
473,876

Income tax expense
(244,681
)
 
(534
)
 
(245,215
)
 
 
 
 
 
 
Net Income
$
1,175,893

 
$
2,571

 
$
1,178,464