Question: For each of the following situations use the IFRS revenue

For each of the following situations use the IFRS revenue recognition criteria to determine when revenue should be recognized. Explain your reasoning.
a. A person buys a chocolate donut and a large coffee with double milk and double sugar at a Tim Hortons.
b. A symphony lover buys a series package for the Masterworks Gold and Diamond Series performed by the Vancouver Symphony Orchestra. The series has ten per formances over the year from September through May. The symphony lover pays the full price of the series before the series begins and receives tickets for all the performances when he pays.
c. A customer purchases an extended warranty from Leon's when she buys a new 60 inch plasma television. The extended warranty provides two years of coverage for the set beyond the end of the one-year manufacturer's warranty. (Coverage is for the second and third years the customer owns the TV.)
d. A software development company sells a computer graphics program. The company provides 18 months of 24/7 telephone and internet support for the software.

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  • CreatedFebruary 26, 2015
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