tailieunhanh - Indian Accounting Standard (Ind AS) 18 Revenue

The requirement that insurance risk is always transferred risk, means that only risks accepted by the insurer, which were pre–existing for the policyholder at the inception of the contract, meet the definition of insurance risk. Lapse, persistency or expense risks, resulting from contracts written, do not constitute insurance risk as they are not transferred risks – even if these risks are triggered by the same events that trigger insurance risk. It therefore follows that the loss of future earnings for the insurer, when the contract is terminated by the insured event, is not insurance risk as the economic loss for the insurer is not a transferred risk. Also,. | Indian Accounting Standard Ind AS 18 Revenue Contents Paragraphs Objective Scope 1-6 Definitions 7-8 Measurement of revenue 9-12 Identification of the transaction 13 Sale of goods 14-19 Rendering of services 20-28 Interest royalties and dividends 29-34 Disclosure 35-36 Appendices A Revenue Barter Transactions Involving Advertising Services B Customer Loyalty Programmes C Transfers of Assets from Customers D References to matters contained in other Indian Accounting Standards E Illustrative examples Sale of goods Rendering of services Interest royalties and dividends Recognition and measurement 1 Comparison with IAS 18 Revenue 2 Indian Accounting Standard Ind AS 18 Revenue This Indian Accounting Standard includes paragraphs set in bold type and plain type which have equal authority. Paragraphs in bold type indicate the main principles. Objective Income is defined in the Framework for the Preparation and Presentation of Financial Statements issued by the Institute of Chartered Accountants of India as increases in economic benefits during the accounting period in the form of inflows or enhancements of assets or decreases of liabilities that result in increases in equity other than those relating to contributions from equity participants. Income encompasses both revenue and gains. Revenue is income that arises in the course of ordinary activities of an entity and is referred to by a variety of different names including sales fees interest dividends and royalties. The objective of this Standard is to prescribe the accounting treatment of revenue arising from certain types of transactions and events. The primary issue in accounting for revenue is determining when to recognise revenue. Revenue is recognised when it is probable that future economic benefits will flow to the entity and these benefits can be measured reliably. This Standard identifies the circumstances in which these criteria will be met and therefore revenue will be recognised. It also provides practical .