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Tag Archives: Construction Contracts

Home » Posts Tagged "Construction Contracts"
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20 Mar
IFRS

7 Key Points to Study for IAS 11 Construction Contracts

  • Posted by Pete
  • Construction Contracts, IAS 11 Construction Contracts
When studying IAS 11 Construction Contracts, you can split the topic into seven key areas: 1.  Definition of a construction contract A construction contract is a contract specifically negotiated for the design, manufacture or construction of: a...

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19 Mar
IFRS

Update: IAS 11 Construction Contracts multiple choice questions

  • Posted by Pete
  • Construction Contracts, IAS 11 Construction Contracts
Are you studying IAS 11 Construction Contracts? Sometimes it can be easier to revise if you 'do' rather than just read. Why not try out our multiple choice IAS 11 questions? Click here to...

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12 Mar
IFRS

4 Steps to Follow for Fixed Price Construction Contracts in IAS 11

  • Posted by Pete
  • Construction Contracts
If the contract is a fixed price and is expected to make a profit; the steps to follow for IAS 11 are as follows: Step 1 – Calculate the total profit expected on the contract This is...

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12 Mar
IFRS

4 steps to account for loss making contracts for IAS 11

  • Posted by Pete
  • Construction Contracts
When you're studying IAS 11 Construction Contracts, if a loss is expected on the contract, the entire loss should be recognised immediately in the income statement. This is an application of the prudence concept...

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