The Impact of IFRS on Industry. Lavi Mohan R.

obligations; and

      b. the transaction price and the amounts allocated to performance obligations.

2.10.7 Determining the Timing of Satisfaction of Performance Obligations

      For performance obligations that an entity satisfies over time, an entity shall disclose both of the following:

      ● the methods used to recognise revenue (for example, a description of the output methods or input methods used and how those methods are applied); and

      ● an explanation of why the methods used provide a faithful depiction of the transfer of goods or services.

      For performance obligations satisfied at a point in time, an entity shall disclose the significant judgements made in evaluating when a customer obtains control of promised goods or services.

2.10.8 Determining the Transaction Price and the Amounts Allocated to Performance Obligations

      An entity shall disclose information about the methods, inputs and assumptions used for all of the following:

      a. determining the transaction price, which includes, but is not limited to, estimating variable consideration, adjusting the consideration for the effects of the time value of money and measuring non-cash consideration;

      b. assessing whether an estimate of variable consideration is constrained;

      c. allocating the transaction price, including estimating stand-alone selling prices of promised goods or services and allocating discounts and variable consideration to a specific part of the contract (if applicable); and

      d. measuring obligations for returns, refunds and other similar obligations.

2.10.9 Assets Recognised from the Costs to Obtain or Fulfil a Contract with a Customer

      An entity shall describe both of the following: