Product and Services Revenue Recognition The Companys accounting policy relating to revenue recognition reflects the impact of the adoption of Accounting Standards Codification (ASC) 606, implemented on January 1, 2018. The Company records revenue based on a five-step model in accordance with ASC 606, Revenue from Contracts with Customers, which require that we: 1. Identify the contract with a customer; 2. Identify the performance obligations in the contract; 3. Determine the transaction price of the contract; 4. Allocate the transaction price to the performance obligations in the contract; 5. Recognize revenue when the performance obligations are met or delivered. Product sales are on terms which transfer title and risk of loss at a specified location, which may be the Companys warehouse, a destination designated by the customer, port of loading or port of discharge, depending on the final destination of the goods. Other than standard product warranty provisions, the Companys sales arrangements provide for no other post-shipment obligations. Rental, service and maintenance revenues relating to the Companys rental agreements involve providing use of the Companys digesters at customer locations, access to our software as a service and preventative maintenance over the term. The agreements generally provide for flat monthly payments that the Company believes are consistent with our costs and obligations underlying the agreements. Management advisory fees are based upon the passage of time and do not have any measurable performance measures that would require the Company to recognize revenues and costs other than on a passage of time and as incurred basis. The adoption of Topic 606 did not have a material impact on the timing or amounts of revenue and costs recognized in the Companys consolidated financial statements and therefore did not have a material impact on our financial position, results of operations, equity or cash flows as of the adoption date or for the year ended December 31, 2018. The Company did not recognize any cumulative-effect adjustment to retained earnings upon adoption as the impact was immaterial. Also, the comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company records taxes collected from customers and remitted to governmental authorities on a net basis.