Module 23 - Revenue From Contracts With Customers Flashcards

1
Q

Step 1

A

Identify the contract with a customer

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2
Q

Step 2

A

Identify the performance obligations in the contract

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3
Q

Step 3

A

Determine the transaction price

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4
Q

Step 4

A

Allocate the transaction price to the performance obligations in the contract

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5
Q

Step 5

A

Recognise revenue when/ as the entity satisfies a performance obligation

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6
Q

Refund liability double entry

A

DR Bank/ Receivables
CR SPL - Revenue
CR Refund liability

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7
Q

Significant financing component

A

Buy now, pay later

Adjust for the time value of money

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8
Q

If goods/ services exchanged, must

A

Have different risks and cash flows in order for there to be commercial substance

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9
Q

Loss making contracts

A

Meets the definition of an onerous contract - under IAS 37

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