Which of the following is not one of the criteria for revenue recognition for sales of goods under IFRS?
Choice A - The significant risks and rewards of ownership of goods are transferred.
Choice B - Payment has been received.
Choice C - The entity does not retain either a continuing managerial involvement or control over the goods.
Choice D - The costs incurred can be measured reliably
Choice B - Payment has been received.
Choice C - The entity does not retain either a continuing managerial involvement or control over the goods.
Choice D - The costs incurred can be measured reliably
Choice “B” is correct because payment has to be received is not a criteria for revenue recognition for sales of goods under IFRS.
Criteria for revenue recognition for sales of goods under IFRS includes
The significant risk and rewards of ownership of goods be transferred
The entity does not retain either a continuing managerial involvement or control over the goods.
The costs incurred can be measured reliably