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myMFRS15

MFRS 15 establishes the principles that an entity applies when reporting information about the nature, amount, timing and uncertainty of revenue and cash flows from a contract with a customer. Applying MFRS 15, an entity recognizes revenue to depict the transfer of promised goods or services to the customer in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.

To recognize revenue under IFRS 15, an entity applies the following five steps:

  • Identify the contract(s) with a customer.
  • Identify the performance obligations in the contract.
  • Determine the transaction price.
  • Allocate the transaction price.
  • Recognize revenue when a performance obligation is satisfied by transferring a promised good or service to a customer (which is when the customer obtains control of that good or service).
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