Orwiki: 1 revision imported

2020-08-20T13:37:56Z

1 revision imported

ORwiki at 00:47, 20 August 2020

2020-08-20T00:47:30Z

New page

<div class="alert-box secondary">Superseded by [[Link::t:IFRS15]].</div>

{{this}} prescribes the contractor’s accounting treatment of revenue and costs associated with construction contracts. Work under a construction contract is usually performed in two or more accounting periods.

Consequently, the primary accounting issue is the allocation of contract revenue and contract costs to the accounting periods in which construction work is performed.

{{this}} requires:
* When the outcome of a construction contract can be estimated reliably, contract revenue and contract costs associated with the construction contract to be recognised as revenue and expenses respectively by reference to the stage of completion of the contract activity at the end of the reporting period; and
* When the outcome of a construction contract cannot be estimated reliably:
** Revenue to be recognised only to the extent of contract costs incurred that is probable will be recoverable; and
** Contract costs to be recognised as an expense in the period in which they are incurred.
When it is probable that total contract costs will exceed the total contract revenue, the expected loss is recognised as an expense immediately.

{{this}} is Copyright: [https://IFRS.org IFRS Foundation]
<div class="alert-box secondary">* Superseded by [[Link::t:IFRS15]].</div>
<ins>
[[Link::t:X]]
</ins>
[[Category:Term]][[Category:Finance]]
{{Object
|name=IAS 11 Construction Contracts*
|parent=t:IFRS
|sort=10011
|level=1
|keywords=IAS, IFRS, Standard, Financial, Accounting
|description=IAS 11 prescribes the contractor’s accounting treatment of revenue and costs associated with construction contracts
}}

← Older revision	Revision as of 13:37, 20 August 2020
(No difference)

t:IAS11 - Revision history

Orwiki: 1 revision imported

ORwiki at 00:47, 20 August 2020