Chapter 25
Construction contracts
1.1 Scope and definitions of IAS 11
1.2 Whether an arrangement is a construction contract
1.3 Service concession agreements
2 Combination and Segmentation of Contracts
2.1 Options for the construction of an additional asset
3 Contract Revenue, Costs and Expenses
3.3 The recognition of contract revenue and expenses
3.3.1 Types of construction contract
3.3.2 The stage of completion method
3.3.4 The determination of contract revenue and expenses
3.3.5 Inability to estimate the outcome of a contract reliably
3.3.8 Contracts that contain sales of assets and construction contracts
4 Disclosure Requirements of IAS 11
List of examples
Example 25.1: Determination of revenue
Example 25.2: Determination of revenue – exclusion of unapplied costs
Example 25.3: Cumulative example – the determination of contract revenue and expenses
Example 25.4: Segmented construction contract
Example 25.5: Disclosure of accounting policies
Example 25.6: Disclosure of numerical information regarding construction contracts
1 Introduction
IAS 11 – Construction Contracts – is a standard designed under the historical cost system to deal with the accounting issues raised by its subject. Like a number of other older standards that have not yet been revised significantly ...
