IFRS in action, part 7 – significant financing component?

Let’s take a look at some other recent examples of changes resulting from the implementation of IFRS 15. This is from Stantec Inc.: When we looked several years ago at how the standard addresses the key step of determining the transaction price, we noted the following: Among other things, the new standard also requires adjusting the…

IFRS 15 in action – part 5: some retail issues

Let’s take a look at some other recent examples of changes resulting from the implementation of IFRS 15. This is from Reitmans (Canada) Limited: As we’ve discussed before, for purposes of the first issue, the stand-alone selling price is the price at which an entity would sell a promised good or service separately to a…

IFRS 15 in action – part 4!

Let’s take a look at some other recent examples of changes resulting from the implementation of IFRS 15. This is from Teck Resources Limited: This is a good illustration of one of the standard’s basic conceptual building blocks: let’s briefly summarize. An entity recognizes revenue when (or as) it satisfies a performance obligation by transferring…

IFRS 15 in action – part 3

Let’s take a look at some other recent examples of changes resulting from the implementation of IFRS 15. This is from UGE International Ltd.: I mentioned before that although the standard is called “Revenue from Contracts with Customers,” we may – who knows – identify some cases over time where the bottom-line impact flows as…

IFRS 15 in action – part 2!

Let’s look at another recent disclosure about the impact of IFRS 15. Here’s an extract from what SNC-Lavalin Group Inc. had to say: Let’s pick out a few of the items there: Variable consideration We’ve noted before that an entity doesn’t include any amount of variable consideration in the transaction price unless “it is highly…

IFRS 15 in action – some material impacts to come

These blog entries don’t usually lift such a big block of text from somewhere else, but in the circumstances it seems like the best way to go… This is from the December 31, 2017 annual financial statements of Bombardier Inc. It might be concluded from all this that if Bombardier didn’t exist, students of IFRS…