Financial Accounting

Chapter 9

Revenue Recognition and Recognition of Expenses

LEARNING OBJECTIVES

After studying this chapter, you will be able to

1. Define “Revenue”

2. Recognise “Revenue” from the Activities of an Entity

3. Understand the Guidelines for Revenue Recognition

4. Apply Accounting Standard-9 (AS–9) to Recognise Revenue

5. Apply Proportionate or Percentage of Completion Method for Revenue Recognition

6. Understand and Apply Installment Method of Recognition of Revenue

7. Know Recognition at Completion of Production Process

8. Understand the Concept of Recognition of Expenses and the Methods to Determine Expenses Recognition

9. Understand the Salient Features of AS–9 Relating to Revenue Recognition and Recognition of Expenses

OBJECTIVE 1: DEFINITION OF REVENUE

1.1 Meaning ...