09-27-2005, 10:13 PM
Any one has any idea about the revenue recognition policy of software house, which is in compliance with IFRS. IAS 18 "Revenue" only discuss "Revenue from Services", further it only deals with the revenue form services of a Software company.
How and when a company should recognize a revenue from sale of a licence? If the software takes 3 years to complete, with an estimated cost of $30 Miliion, how and when revenue could be recognized? If on percentage of completion basis, then who will determine, and how the percentage of completion?
Thnaks
How and when a company should recognize a revenue from sale of a licence? If the software takes 3 years to complete, with an estimated cost of $30 Miliion, how and when revenue could be recognized? If on percentage of completion basis, then who will determine, and how the percentage of completion?
Thnaks
