A construction contract is a contract specifically negotiated for the construction of an asset, (or combination of assets), that are closely interrelated or interdependent in terms of their design, technology and function or their ultimate purpose or use.
What is Revenue?
Revenue is the gross inflow of economic benefits (cash, receivables, other assets) arising from the ordinary operating activities of an enterprise (such as sales of goods, sales of services, interest, royalties, and dividends).
The IASB Conceptual Framework sets out the concepts that underlie the preparation and presentation of financial statements. It’s used by the IASB to develop new accounting standards, and provides the reasoning current accounting standards.
Inventories are covered by IAS 2 Inventories, and there are three methods of valuing or measuring the cost of inventory allowed. These are
There are different types of leases depending on what sort of lease arrangement is in place. Here we’ll take a look at some of the things you should know.
Under IAS 18 revenue is measurable at ‘the fair value of the consideration received or receivable’.
IAS 18 provides us with criteria for the recognition of revenue relating to: 1. Sale of goods 2. Rendering of services, and 3. Interest, royalties and dividends Let’s take a look.