Acca financial Accounting (FA) Study Text ac ca (FA)

If revenue is not recognised over time, then it must be recognised at 

a point in time

 (IFRS 15, para 38). 

According to IFRS 15, revenue is to be 

recognised at a point in time,

 

an entity must be able to determine when control over goods or assets 

supplied has been transferred. 

Control of an asset refers to the ability to direct the use of, and obtain 

substantially all of the remaining benefits (inflows or savings in outflows) 

from, the asset. Control includes the ability to prevent other entities from 

obtaining benefits (i.e. using or selling) an asset. 

---