Requirement – 1
International Financial Reporting Standards
They are commonly known as IFRS. These are set of accounting standards which are developed by independent (Non-profit) organization called as International Accounting Standards Board (IASB). These are universally accepted set of standards which state the rules and standards for accounting at global level.
The revenue recognition principle
The revenue recognition principle refers to the revenue that should be recognized in the time period, when the performance obligation (sales or services) of the company is completed.
Performance obligation
Performance obligation is the promise made by the seller to supply the goods and service to the customer on or before the contract.
To determine: The amount of revenue should be allocated to each component under IFRS.
Requirement – 2
The amount revenue recognized at the time conveyer is installed under IFRS.
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Intermediate Accounting
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