IFRS 15 Revenue from customer contracts

Realisation Principle – From Prudence to Performance (IFRS 15 in Practice)

by

1. The Realisation Principle – Then and Now Topics show 1. The Realisation Principle – Then and Now 2. From Concept to Standard – IFRS 15’s Five-Step Model IFRS 15’s Five-Step Model – The Story Behind the Numbers Step 1 – Identify the Contract (IFRS 15.9–21) 3. Key Recognition Triggers 4. Six Case Examples – … Read more

Revenue Over Time or at a Point in Time (IFRS 15 Explained with Examples)

by

Revenue over time or at a point in time – When Does Revenue Truly Happen? Topics show Revenue over time or at a point in time – When Does Revenue Truly Happen? The Three Criteria for Revenue Over Time Case A – The Recurring Service (One Performance Obligation) Judgement in practice Governance angle Key insight … Read more

IFRS 15 Significant Judgments and Estimates in Revenue Recognition

by

Last Updated on 02/10/2025 by 75385885 IFRS 15 Significant Judgments and Estimates Topics hide IFRS 15 Significant Judgments and Estimates Why two versions? Why Judgments Matter in IFRS 15 The 5-Step Model of IFRS 15 Significant Judgments and Estimates Step 1 – Identify the Contract with the Customer Step 2 – Identify the Performance Obligations … Read more

Residual value best read used 4

by

Last Updated on 24/02/2020 by 75385885 4 proper uses of Residual value Topics hide 4 proper uses of Residual value Residual value IAS 16 Definition: The residual-value of an asset is the estimated amount that an entity would currently obtain from disposal of the asset, after deducting the estimated costs of disposal, if the asset … Read more

The Complete IFRS 15 Revenue Recognition Cornerstone

by

Last Updated on 01/10/2025 by 75385885 The Complete IFRS 15 Revenue Guide – Introduction: Why Revenue Recognition Matters Topics hide The Complete IFRS 15 Revenue Guide – Introduction: Why Revenue Recognition Matters Combine IFRS 15 items with the IFRS 9 ECL-model Step 1 – Identify the Contract Step 2 – Identify the Performance Obligations Step … Read more

Arrangements where the identification criteria are not met under IFRS 15

by

Topics hide Arrangements where the identification criteria are not met Arrangements where the identification criteria are not met Arrangements where the identification criteria are not met An arrangement is not accounted for using the five contract identification criteria until all of the criteria are met. Management will need to reassess the arrangement at each reporting … Read more

IFRS 15 Pre-Contract Establishment Date activities – Important to know

by

Topics hide Pre-Contract Establishment Date activities Partially Satisfied Performance Obligations Before the Identification of a Contract TRG Update — Pre-CED Activities Q&A Partial Satisfaction of a Performance Obligation Before Identification of the Contract — Revenue Recognition Food for thought — Trial Periods Food for thought — Free Trial Period Pre-Contract Establishment Date activities or Partially … Read more

Sales outside ordinary activities – best way of combining IFRS 15 IAS 16 IAS 38 and IAS 40

by

Topics hide Sales outside ordinary activities Case – Sale of a single-property real estate (IFRS 3, IFRS 10, IAS 40 ) Food for thought – Judgement required to identify ordinary activities (IFRS 15.BC53) Food for thought – Accounting for a non-current non-financial asset held for sale may result in a gain or loss on transfer … Read more

Revenue recognition when or as

by

Topics hide Revenue recognition when or as the entity satisfies a performance obligation Different pricing conventions Revenue recognition when or as the entity satisfies a performance obligation The obligation to purchase and sell electricity under a PPA generally will be viewed as a single performance obligation that is satisfied over time (when). A power and … Read more