Revenue reporting’s global makeoverWith a new international standard for revenue reporting on the global horizon, smart local companies must look ahead of the current domestic requirements and prepare for the future. The standard offers a single model for revenue recognition from contracts with customers, replacing all previous standards and interpretations. Combining the guidance of previous standards and interpretations, IFRS 15 introduces a single model for revenue recognition which consists of five steps to be followed. Finally, in Step 5, revenue is recognised when each of the performance obligations is satisfied either one time or over time. These newly introduced concepts can lead to changes in revenue recognition when compared to previously applied methods.

Source: VietNamNet News February 17, 2017 23:11 UTC