IFRS 15 - Revenue Recognition

Overview:

Revenue is an extremely important profit and loss statement top line number that drives bottom line results for all revenue producing companies. Accurate revenue recognition reporting is necessary for internal and external reporting to maintain investor and creditors’ confidence in an entity.  The objective of this course is to provide you with a practical understanding of the five-step revenue recognition framework under Part I – International Financial Reporting Standards (IFRS) 15, Revenue from Contracts with Customers, and how to apply it. The course will address disclosure requirements, discuss key areas of application challenges, key judgments and provide examples applying the standard. The course has been updated for IASB agenda decisions and topic group discussion areas.

This course will provide you with a practical understanding of the new five-step revenue recognition framework under Part I – International Financial Reporting Standards (IFRS) 15 and how to apply it. 

The 5-step model framework includes:

1. Step 1: Identify the contract with the customer
2. Step 2: Identify the performance obligations
3. Step 3: Determine the transaction price
4. Step 4: Allocate the transaction price
5. Step 5: Recognize revenue, including how and when

The course will address disclosure requirements, discuss key areas of application challenges, key judgments, and provide examples applying the standard. This course has been updated for IASB agenda decisions and topic group discussion areas.  We will also address disclosure and presentation requirements, application guidance on various topics, and key judgments in applying the standard.

Course Content:

In this course, you will gain knowledge about the following topics:

• Overview and scope, including transitional requirements the 5-step model framework, including how to apply it:
  • Step 1: Identify the contract with the customer
  • Step 2: Identify the performance obligations
  • Step 3: Determine the transaction price
  • Step 4: Allocate the transaction price
  • Step 5: Recognize revenue, including how and when
• Practical challenges and considerations and current developments
• Disclosure and presentation requirements
• Other application guidance on various topics such as warranties, licences, capitalization of costs of obtaining and fulfilling a contract, contract modifications, etc.

Learning Objectives:

Upon completing this course, you should be able to:

• Describe the core principles, concepts and scoping requirements
• Apply and analyze the 5-step model, including the specific criteria, provisions and exemptions governing each step in the model
• Identify and apply presentation and disclosure requirements, including those that may have in-practice challenges
• Recognize and observe examples of other application guidance in the standard
• Describe current developments and areas of accounting discussion

Who Will Benefit: 

Professionals who are responsible for revenue recognition accounting or oversight and/or auditing.